Will British Airways owner IAG continue falling, or will it rise again back to 654p recent highs?

• British Airways owner IAG shares -6% from recent highs; -4.6% today.
• Now trades 621p (at time of writing).
• Shares -7.5% from 2019 highs; +6.8% from 2019 lows; +0.9% year-to-date.
• Can the stock recover to recent highs?
• 18 Feb: Citi says peer Ryanair is starting to attract bullish interest from investors.
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading British Airways owner IAG – An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards 654p. You decide to buy exposure to £10,000 worth of British Airways owner IAG using a CFD, at the current price of 621p. To do this, you need £2,000.

Let’s assume British Airways owner IAG recovers back to last week’s highs of 654p (+5.3%). Your profit would be £530, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 6% from the current price. British Airways owner IAG falls 6% and hits your stop-loss. Your loss would be £600.

This is provided for information purposes only. It should not be taken as a recommendation.