Is this an opportunity to take a position ahead of the results?
Tullow Oil publishes a trading statement on Weds, 13 Feb.
- Last time Tullow reported: FY Results, 16 Jan.
- The shares closed -0.3% for a daily range of 6.8p or 3.4%.
- Shares -5.7% from 2019 highs; +18.4% from 2019 lows; +12.8% year-to-date.
- Currently 202p (at time of writing).
- Will we see another big share price move on Wednesday?
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Tullow Oil – An Example
Let’s say you think that Tullow results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Tullow using CFDs, at the current price of 202p. To do this, you need £2,000.
For the purpose of this example, let’s assume Tullow 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 position, and place a stop-loss 5% below the current price. Tullow 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.