Will Unilever break support, or will it rise again back to 4381p ?

• Support around 3924p since April ’18.
• Latest bounce yesterday to trade 4000p (at time of writing).
• Will the pattern repeat? Will the shares bounce to 4381p again?
• Shares -5.2% from 2018 highs; +0.4% from 2018 lows; -2.7% year-to-date.
• 28 Jan: Acquired The Laundress, a US maker of eco-friendly cleaning products
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Unilever – An Example

Let’s say you like the Unilever chart and you think the price is heading back towards 4381p again. You decide to buy exposure to £10,000 worth of Unilever using a CFD, at the current price of 4000p. To do this, you need £2,000.

Let’s assume Unilever rises back to Dec highs of 4381p (+9.5%). Your profit would be £950, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 4% from the current price. Unilever falls 4% and hits your stop-loss. Your loss would be £400.

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