Will Qinetiq break support, or will it rise again back to 299p September highs?

• QinetiQ has a shallow rising support since December 2017, with 3 bounces, most recently last week.
• Now trading 277p (at time of writing).
• Shares -9.5% from 2018 highs; +42.2% from 2018 lows; +19.7% year-to-date.
• In latest results the defense company said that strong increases in revenue means it is well placed for sustainable and profitable growth in the future.
• Source: Bloomberg, FT, Reuters, DJ Newswires

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Trading QinetiQ – An Example

Let’s say you like the QinetiQ support level, you think it’s heading back towards 299p September highs again. You decide to buy exposure to £10,000 worth of QinetiQ using a CFD, at the current price of 277p. To do this, you need £2,000.

Let’s assume QinetiQ rises back to 299p (+7.9%). Your profit would be £790, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 3% from the current price. QinetiQ falls 3% and hits your stop-loss. Your loss would be £300.

This is provided for information purposes only. It should not be taken as a recommendation.