A trading opportunity for you?
Will Carnival continue falling, or will it recover 4000p highs (+15%)?
- Shares fell 17% from June highs; since bounced by 3.8%
- Bounce off floor of falling range to trade 3473p (at time of writing)
- Will the pattern repeat itself, rising back to recent highs of 4000p (+15%)?
- Shares -22.0% from 2019 highs; +3.5% from 2019 lows; -7.8% year-to-date.
- Shares hit by disappointing results
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Carnival – An Example
Let’s say you feel that the stock is a bargain and you think could bounce back towards highs of 4000p. You decide to buy exposure to £10,000 worth of Carnival using a CFD, at the current price of 3473p. To do this, you need £2,000.
Let’s assume Carnival recovers back to 4000p highs (+15%). Your profit would be £1500, 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 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.