Is this breakout a good trade for you?
Will Segro turn, or will it continue to rise towards 2008 highs of 760p?
- Breakout above recent highs to trade 693p (at time of writing).
- The ‘trend is your friend’. Will it continue towards 760p highs of 2008?
- Shares -0.2% from 2019 highs; +20.1% from 2019 lows; +17.9% year-to-date
- 17 Apr: Segro benefits from high industrial real-estate demand says Liberum
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Segro – An Example
Let’s say the breakout appeals to you, you think it’s likely to continue towards 760p. You decide to buy exposure to £10,000 worth of Segro using a CFD, at the current price of 693p. To do this, you need £2,000.
Let’s assume the Segro trend continues to 2008 highs of 760p (+9.6%). Your profit would be £960, 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. Segro breaks lower, falling 3% and it hits your stop-loss. Your loss would be £300.
This is provided for information purposes only. It should not be taken as a recommendation.