Barclays’ share price formed a bullish engulfing pattern as the American bank earnings season began. The stock climbed to 150p, marking a 3.66% increase from its low last week. This movement was in line with other major banks like Lloyds, NatWest, and HSBC.

The earnings season for American banks started last week. JP Morgan, the largest bank in the U.S., reported weaker results due to increased provisions for bad credit, leading to a 28% drop in earnings.

Similarly, Morgan Stanley also posted disappointing results, with investment banking revenue falling sharply. The bank’s revenue came in at $13.13 billion, below the expected $13.48 billion, and its profit fell by about 29% to $2.9 billion.

Bank of New York Mellon also missed expectations, with earnings per share of $1.03 compared to the expected $1.12, and revenue of $4.3 billion falling short of estimates. Citigroup was the only major bank to report strong results.

Barclays’ share price is expected to respond to the upcoming earnings reports from major U.S. banks like Goldman Sachs and Bank of America. Additionally, smaller regional banks like Park, Guaranty, and PNC will release their results this week, offering further insight into Barclays’ earnings, which will be reported on July 28th.

On the daily chart, Barclays’ stock has been in a bearish trend in recent days, but a bullish engulfing pattern formed on Friday, which is typically seen as a positive signal in technical analysis. The stock remains below the 25-day and 50-day moving averages, with the upper side of the descending channel highlighted in blue.

Given the bullish engulfing pattern, the stock is likely to continue rising, with bulls targeting the key resistance level at 155p. However, much of this movement will depend on the earnings results from major U.S. banks this week.