Will Anglo American break support, or will it rise again to 2228p?

• Shallow rising support since late Jan, with 4 bounces
• Latest bounce at 1927p to trade 1962p (at time of writing).
• Will the pattern repeat, the shares climbing back towards 2258p?
• Shares -12.0% from 2019 highs; +17.8% from 2019 lows; +12.3% year-to-date.
• 2 May: Fitch upgrades Anglo American to ‘BBB’; Outlook Stable
• 25 Apr: Anglo American Q1 Copper Production +4%
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Anglo American – An Example

Let’s say you like the Anglo American chart and you think the price is heading back towards 2258p again. You decide to buy exposure to £10,000 worth of Anglo American using a CFD, at the current price of 1962p. To do this, you need £2,000.

Let’s assume Anglo American rises back to 2258p (+15%). Your profit would be £1500, 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. Anglo American 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.