. Goldman Sachs News & Technical Analysis - 18 October 2022

Goldman Sachs News & Technical Analysis – 18 October 2022

18 Oct 2022

Goldman Sachs unveils revamp as third-quarter profit falls

Goldman Sachs Group Inc (NYSE:GS) said on Tuesday it was reorganizing its business into three units, as the Wall Street giant undertakes another overhaul in less than three years, and reported a drop in third-quarter profit.

Profit applicable to common shareholders fell to $2.96 billion, or $8.25 per share, in the quarter ended Sept. 30, from $5.28 billion, or $14.93 per share, a year ago.

Analysts had expected a profit of $7.69 per share, according to Refinitiv data. It was not immediately clear if the reported numbers were comparable to estimates.

It is the biggest shakeup by the investment bank in just over two years and outlined plans for four core units: investment banking, global markets, consumer and wealth management and asset management.

The reshuffle comes as the Wall Street titan seeks to boost its income from fee-based businesses at a time when rising interest rates have dented valuations and deal-making. The overhaul follows a round of global job cuts in September that could have impacted hundreds of bankers.

The move also comes as the bank is rounding out a mixed quarter for big U.S. banks, in which choppy capital markets and slowing economic growth weakened investment banking. However, rising borrowing costs boosted net interest income to cushion the blow.

GOLDMAN SACHS Technical Analysis: Daily Chart

In the daily charts, GOLDMAN SACHS is trading in an up channel. GOLDMAN SACHS is currently trading above 20 days SMA & below 50 and 100 days SMA.

RSI is in buying zone which indicates bullishness. MACD is currently above zero which indicates bullishness.

Its immediate support is 310.00 & the resistance level is at 319.43.

GOLDMAN SACHS will trade in an up channel until there is trend reversal.   

How to Trade GOLDMAN SACHS this Week:

GOLDMAN SACHS will follow the up channel until there is trend reversal. So, remain bullish on GOLDMAN SACHS.

TRADE SUGGESTION- BUY AT 313.80, TAKE PROFIT AT 319.43 AND STOP LOSS AT 310.00