Goldman Sachs shares gain for a second session in a row on Tuesday, holding to raise rates for savers to expand deposit base

Goldman Sachs consumer division, Goldman Sachs Bank USA, will reportedly raise the offered rate on deposits to 1.2% on June 7th in an attempt to lure Main Street clients. This way the bank would offer slightly better deposit terms in comparison with competitors such as Synchrony Bank, New York Community Banks My Banking Direct and CIT Bank.

Goldman Sachs shares closed higher for a second consecutive trading session on Tuesday. The stock edged up 0.25% ($0.54) to $214.53, after touching an intraday high at $216.02, or a price level not seen since May 31st ($218.30). In the week ended on June 4th the shares of the bank holding company lost 4.57% of their market value compared to a week ago, which marked the third drop in the past four weeks and also the worst performance since the week ended on March 26th. However, the stock has extended its advance to 1.55% so far during the current month, following a 5.60% slump in May. The latter has been a third consecutive month of losses. For the entire past year, Goldman Sachs shares gained 32.86%.

According to personal finance website Bankrate.com, such a move will place Goldman Sachs on top of the list of banks offering the highest interest rates to their clients.

Nationwide, the average rate for savings accounts was presently 0.06%, data by the US Federal Deposit Insurance Corporation showed.

The previously offered rate on deposits at Goldman Sachs was 1.05%. On-line deposits from individuals at the bank are at a total of $12 billion, while overall deposits total $128 billion.

In comparison, JPMorgan Chase & Cos deposit base totals $1.4 trillion.

According to CNN Money, the 25 analysts, offering 12-month forecasts regarding Goldman Sachs’s stock price, have a median target of $250.00, with a high estimate of $275.00 and a low estimate of $185.00. The median estimate is a 16.53% surge compared to the closing price of $214.53 on June 6th.

The same media also reported that 12 out of 30 surveyed investment analysts had rated Goldman Sachs’s stock as “Hold”, and 12 – as “Buy”. On the other hand, 2 analysts had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Goldman Sachs stock are presented as follows:

R1 – $214.85
R2 – $215.18
R3 (Range Resistance – Sell) – $215.50
R4 (Long Breakout) – $216.48
R5 (Breakout Target 1) – $217.61
R6 (Breakout Target 2) – $218.10

S1 – $214.21
S2 – $213.88
S3 (Range Support – Buy) – $213.56
S4 (Short Breakout) – $212.58
S5 (Breakout Target 1) – $211.45
S6 (Breakout Target 2) – $210.96

By using the traditional method of calculation, the weekly levels of importance for Goldman Sachs Group Inc (GS) are presented as follows:

Central Pivot Point – $215.12
R1 – $220.63
R2 – $227.94
R3 – $233.45
R4 – $238.95

S1 – $207.81
S2 – $202.30
S3 – $194.99
S4 – $187.67