HSBC Technical Analysis (NYSE:HSBC)
Technical analysis is based on the study of past price and volume movements of a security with the help of technical stock charts or trading charts. The HSBC stock price data and volume are plotted in HSBC stock charts and these trading charts form the basis of technical analysis.
See HSBC bollinger bands, SMA (200 day moving average, 50 day moving average) and exponential moving averages. Technical analysis uses an approach for HSBC stock analysis that does not care for the fair "value" of a company but uses price and volume data only.
HSBC Moving Average:
Moving averages help predict the price direction of HSBC stock based on certain triggers, but with a lag, and form building blocks for other technical indicators like the MACD and bollinger bands. The longer the duration of the moving average, the higher the lag. For example, 200 day moving averages for HSBC are mostly signals of long term trends and will help long term traders.
HSBC Bollinger Bands:
Bollinger bands comprise of a center line usually HSBC SMA, and two HSBC stock price bands above and below it. The stock is considered over brought when the price starts moving closer towards the upper band, and is considered oversold as stock price moves closer towards the lower band. The stock price is trading between the average and the lower band in the context of HSBC bollinger bands.
HSBC Moving Average Convergence Divergence or MACD:
Two important concepts with respect to moving average convergence divergence or MACD are: crossovers and divergence. When the MACD rises above the signal line, it typically indicates a bullish trend and most likely the stock prices will go up. The HSBC MACD indicator can be used to identify bullish and bearish trends for the stock.
HSBC Relative Strength Index:
The relative strength index compares the magnitude of recent gains to recent losses and is a momentum indicator. It attempts to assess overbought and oversold conditions of a stock. 65.94 is the RSI value of HSBC stock. .