HSBC Analysts Bullish On Tory Victory

Binary options traders typically buy a stock when it eclipses the 52-week high, or is rising in that direction, and sell a stock when it plunges beneath the 52-week low, or is trending in that direction. Currently, HSBC Holdings PLC is extremely bullish, as it is pushing against its 52-week high of $44.44 per share. The 52-week low of this banking stock is $28.62 per share. Analysts are less optimistic about the long-term prospects of HSBC Holdings PLC, given that the 1-year target estimate price is $38.96 per share.

Over the past 3 years between 2014 and 2016, revenues have declined from $90.84 billion to $72.44 billion. Earnings have also plunged from $14.71 billion to $3.45 billion in that time. Nonetheless, the stock remains a clear buy prospect, with Thomson Reuters analysts assigning a rating of 2.0 to the stock (1.0 represents a strong buy and 5.0 represents a sell). As far as trading decisions for this current week go, the stock remains bullish. For starters, HSBC does not anticipate a surprise victory for Labour, and that means that the status quo will likely remain.

HSBC: “Polls supportive of a Tory victory on June 8, 2017”

According to analysts from the bank, a rather sombre mood has gripped UK markets. This makes sense given the recent spate of terror attacks in the run-up to the election. Nonetheless, HSBC analysts point to a range of polls which give the ruling Tories a slim advantage over the opposition. On the one end of the spectrum, ComRes has the Tories 12 points ahead of Labour, while on the other, Surveytion has them 1 point ahead.

May’s Lead is Shrinking but Conservatives Remain Ahead 

HSBC has been quick to point out that when the snap election was called in April 2017, Prime Minister May enjoyed a comfortable lead of 23 percentage points in the national polls. That has been whittled away significantly. An average of the last 15 polls indicates that one week out, the Tories were just 7 percentage points ahead of Labour. Currently, the conservatives enjoy a 17-seat majority in parliament, but if the polls are correct this could increase significantly to 50 or 70 seats.