A trading opportunity for you?
Will ITV continue falling, or will it rise again back to late April’s 140p highs?
- ITV shares have fallen 20% from April’s highs
- Shares falling after Bank of America double downgraded the stock to Underperform from Buy.
- Currently trading 111p (at time of writing).
- Shares -20.9% from 2019 highs; +0.1% from 2018 lows; -10.4% year-to-date.
- 8 May: ITV Shares Fall as Economic, Political Uncertainty Bite
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading ITV – An Example
Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 140p. You decide to buy exposure to £10,000 worth of ITV using a CFD, at the current price of 111p. To do this, you need £2,000.
Let’s assume ITV recovers back to 140p (+26.1%). Your profit would be £2610, 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. ITV 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.