Is this an opportunity to take a position ahead of the results?
Dixons Carphone reports H1 results on Weds, 12 December
- The chart shows the price movement last time Dixons Carphone reported (Q1 Trading Update, 6 Sept).
- The shares opened -2.5p (-1.5%), went as high as +5.5p (+3.4%) and as low as -4.7p (-2.9%).
- The shares closed -2.6p (-1.6%), for a daily trading range of 10.3p or 6.2%.
- Electrical-goods retailer received a TV-sales boost from the World Cup.
- Overall performance was in-line with market expectations.
- Shares -31.6% from 2018 highs, +6% from 2018 lows, -20.7% year-to-date.
- Currently trading at 158p (at time of writing).
- Dixons Carphone reports H1 results on Wednesday 12 Dec. Will we see another big move?
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Dixons Carphone – An Example
Let’s say you think that Dixons Carphone results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Dixons Carphone using CFDs, at the current price of 158p. To do this, you need £2,000.
For the purpose of this example, let’s assume Dixons Carphone reports strong results and the shares rise 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 3% below the current price. Dixons Carphone results miss, it 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.