Is this trend a good trading opportunity?
Will Evraz turn, or will it continue to rise to April highs of 672p?
- Shares +8% since last week’s lows; Now trading 605p (at the time of writing).
- Will the positive momentum continue towards April highs of 672p?
- Shares -10.1% from 2019 highs; +39.1% from 2019 lows; +26.1% year-to-date.
- 29 Apr: Q1 crude steel output +12.4% QoQ; Total steel product sales +8.4%
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Evraz – An Example
Let’s say the trend appeals to you, you think it’s likely to continue. You decide to buy exposure to £10,000 worth of Evraz using a CFD, at the current price of 605p. To do this, you need £2,000.
Let’s assume the Evraz trend continues to April highs of 672p (+11%). Your profit would be £1100, 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. Evraz 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.