A trading opportunity for you?
Will Hiscox continue falling, or will it rise again back to 1792p recent highs?
- Hiscox fallen over 8% in less than 10 days.
- Insurer’s shares already bounced +1.18% from their worst levels.
- Now trades 1663p (at time of writing).
- Shares -8% from 2019 highs; +0.7% from 2019 lows; +6.5% year-to-date.
- Can the stock recover to recent highs?
- Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal
Trading Hiscox – An Example
Let’s say you feel that the stock is a bargain and you think could bounce back towards recent high of 1792p. You decide to buy exposure to £10,000 worth of Hiscox using a CFD, at the current price of 1663p. To do this, you need £2,000.
Let’s assume Hiscox recovers back to 1565p recent highs (+8.25%). Your profit would be £825, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 4% from the current price. Hiscox falls 4% and hits your stop-loss. Your loss would be £400.
This is provided for information purposes only. It should not be taken as a recommendation.