Brexit Issues Hurting HSBC, Stock Trending Lower
From the middle of 2016 through the beginning of 2018, HSBC Holdings (NYSE: HSBC) saw its stock price double, moving from $26 a share to over $52. The London-based bank holding company has seen its fortunes reverse since the end of January and the stock has lost 19%. At the low in October, the stock was down 26.6% from its high.
The stock has seen a downwardly sloped trend channel form over the last 10 months and it just hit the upper rail of the channel this past week. We see that the daily stochastic readings are in overbought territory and just made a bearish crossover on Friday which could signal that the trend channel will continue to define the cycles within the downtrend.
One thing that seems to be hounding HSBC is the status of Britain’s exit from the European Union—Brexit. Because there is so much uncertainty about how the separation will occur, British banks seem to be investment pariahs. The recent Bank of England stress tests showed the banks have adequate reserves, but there are concerns that they will be at a disadvantage on the global market once the exit is complete.
Brexit issues aren’t the only thing that is hurting HSBC. Over the last three years, the earnings have been flat while sales have declined at a rate of 7% per year. These are not the kind of numbers you want to see from a company while there has been global economic expansion.
HSBC's MACD Histogram just turned positive
The Moving Average Convergence Divergence (MACD) for HSBC turned positive on June 17, 2026. Looking at past instances where HSBC's MACD turned positive, the stock continued to rise in of 40 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 17, 2026. You may want to consider a long position or call options on HSBC as a result. In of 81 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
HSBC moved above its 50-day moving average on June 11, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where HSBC advanced for three days, in of 364 cases, the price rose further within the following month. The odds of a continued upward trend are .
HSBC may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 413 cases where HSBC Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where HSBC declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 23, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. HSBC’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.659) is normal, around the industry mean (1.855). P/E Ratio (15.740) is within average values for comparable stocks, (15.211). HSBC's Projected Growth (PEG Ratio) (0.942) is slightly lower than the industry average of (1.697). HSBC has a moderately high Dividend Yield (0.039) as compared to the industry average of (0.025). HSBC's P/S Ratio (4.914) is slightly higher than the industry average of (3.947).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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a major bank
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