The Taylor Wimpey share price spiked higher yesterday after the builders H1 trading update revealed it completed a record number of homes in the period.
FTSE constituent Taylor Wimpey Plc (LON: TW) jumped to a two-month high of 175.75p yesterday after its first-half earnings announcement.
In the six month period, the homebuilder constructed a record 7,303 new homes, which helped revenue increase by 191.10% to £2.1 billion.
This cements the groups’ strong comeback this year. As a result, Chief Executive Pete Redfern says he expects full-year profits of around £820 million in 2021.
However, the shares have started on the back foot this morning and are currently trading at 168.35p, around 4% below yesterday’s high.
The daily chart shows the Taylor Wimpey share price has made some positive technical advances. Recent price action lifted TW out of a descending channel and above the 200, and 50-day moving averages.
Although, this morning, the price has lost the support of the 100-day at 172.19p.
The price forecast looks promising as long as it remains above the 50 DMA at 164.50p and the 200 at 162.15p. If TW drops below the averages, the outlook turns bearish. Even more so, if the share price falls back into the trend channel at 157.35p.
However, if the price reclaims the 100 DMA, it may target the 2021 high at 193.80p.
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