XTB shares dropped 3.8% during Monday's trading session on the Warsaw Stock Exchange (WSE: XTB), hitting their lowest levels since April as the Polish online brokerage extended its losing streak to five consecutive sessions.

XTB Extends Decline to Five Sessions on Technical Break

The stock fell below its 200-day exponential moving average of 64 zloty, a key technical indicator that traders watch closely. XTB hasn't spent much time below this level in recent years, with the last extended period occurring between August and October 2023.

From this year's May highs near 92 zloty, XTB shares have now declined roughly 22%, breaking through two important support levels at 78 zloty and 73 zloty that were established by local lows in June.

The selloff appears isolated to XTB rather than reflecting broader sector weakness. Other publicly traded CFD brokers posted gains Monday, with Plus500 rising 1.8% to 333.4 pence after releasing a trading update for the first half of 2025. CMC Markets climbed 1.2% to 252 pence.

Plus500's update showed strong momentum, with revenue reaching $415.1 million for the first six months of 2025, up 4% year-over-year. The company reported record customer deposits of $3.1 billion for the half-year period, doubling from the previous year.

Awaiting H1 Results

No clear catalyst explains XTB's recent decline. The company hasn't released any new reports, with its next earnings update scheduled for August covering second-quarter and first-half 2025 results. Online discussions among retail investors mention institutional capital flows, but no concrete developments have emerged.

Analyst coverage remains sparse, with the most recent recommendation coming from Polish Nobel Securities on February 11, 2025, setting a target price of 70 zloty. mBank took a more pessimistic view in late January, recommending a sell rating with a target price just under 69 zloty.

The decline comes despite XTB's continued product expansion efforts. FinanceMagnates.com reported last week that the firm added IKZE retirement investment accounts to its Polish offering. In mid-June, XTB increased the number of supported cryptocurrencies in its e-wallet to 19, positioning itself to compete with Revolut.

“We are entering a period that will be the first serious test for eWallet,” said Omar Arnaout, XTB's CEO. “The vacation time and foreign travel is a moment when our users will certainly use this solution more intensively.”

XTB currently trades at 72.24 zloty, with a market capitalization of approximately 8.58 billion zloty. The stock has gained 86% in the past year but remains down 7.47% over the past week.