Is this breakout a good trade for you?
Will Unilever turn, or will it to continue higher make a fresh record of 5000p?
- Bullish breakout above 4874p to trade record highs of 4888p (at time of writing).
- The ‘trend is your friend’. Will it continue towards 5375p?
- Shares -0.0% from 2019 highs; +25.2% from 2019 lows; +19% year-to-date.
- 3 May: Credit Suisse is undervalued according to Credit Suisse
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Unilever – An Example
Let’s say the breakout appeals to you, you think it’s likely to continue to 5375p . You decide to buy exposure to £10,000 worth of Unilever using a CFD, at the current price 4888p (at time of writing). To do this, you need £2,000.
Let’s assume the Unilever trend continues upwards to a new record high of 5375p (+10%). Your profit would be £1000, 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. Unilever 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.