Will JD Sports break support, or will it rise again to 522p?

• Uptrend since Christmas, rising support since 14 Jan.
• Multiple bounces and breakout at 442p to trade 459p (at time of writing).
• Will the pattern repeat, the shares climbing back towards 522p?
• Shares -15.7% from 2018 highs; +42.8% from 2018 lows; -31.5% year-to-date.
• 14 Jan: Company expects FY profits at upper end of guidance
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading JD Sports – An Example

Let’s say you like the JD Sports chart and you think the price is heading back towards 522p again. You decide to buy exposure to £10,000 worth of JD Sports using a CFD, at the current price of 459p. To do this, you need £2,000.

Let’s assume JD Sports  rises back to 522p Sept highs (+13.7%). Your profit would be £1370, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. JD Sports falls 5% and hits your stop-loss. Your loss would be £500.

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