Will AG Barr break support, or will it rise again back to 801p recent highs?

• AG Barr has rising support since early August
• Bounced 3 times, most recently today off 745p.
• Now trading 762p (at time of writing).
• Will the pattern repeat itself? Will the shares bounce and rally back to 801p again?
• Shares -6.1% from 2018 highs; +22.6% 2018 lows; +14.4% year-to-date.
• AG Barr is a UK manufacturer of non-alcoholic beverages like Irn-Bru.
• 25 Sept: Brokerage Numis say the company has managed to navigate the impact of a UK tax on sugar and carbon dioxide shortages, with business “in a sweet spot”.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading AG Barr – An Example

Let’s say you like the AG Barr range, you think the price is heading back towards 801p again. You decide to buy exposure to £10,000 worth of AG Barr using a CFD, at the current price of 762p. To do this, you need £2,000.

Let’s assume AG Barr rises back to 801p (+5.1%). Your profit would be £510, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. AG Barr falls 2% and hits your stop-loss. Your loss would be £200.

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