Carnival is due to issue a Full-year Results on Thurs, 20 Dec

• The chart above shows the price movements last time Carnival reported (Q3 Results, 27 Sept).
• The shares opened -13p (-0.3%) during UK open, traded as high as +37 (+0.7%), but fell as low as -413p (-8.3%) when the company reported results in the afternoon.
• The shares closed -258p (-5.2%), for a daily trading range of 450p or 9%.
• Shares fell sharply after the leisure & travel company results missed expectations.
• Carnival also issued a Q4 profits guidance below market expectations.
• Shares -14.5% from 2018 highs, +5.6% from 2018 lows, -11.5% year-to-date.
• Currently trading at 4328p (at time of writing).
• Carnival will publish Full-year Results on Thurs, 20 Dec. Will we see another big move?
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Carnival – An Example

Let’s say you think that Carnival results are likely to be good, and the price is likely to rise. You decide to buy exposure to £10,000 worth of Carnival using a CFD, at the current price of 4328p. To do this, you need £2,000.

For the purpose of this example, let’s assume Carnival reports strong results and the share price rises by 10%. Your profit would be £1,000, 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. Carnival results miss, it 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.