A range trading opportunity for you?
Will Antofagasta break support, or will it rise again to July’s 1010p highs?
- Rising support, 6 bounces since Christmas; Now 937p (at time of writing)
- Will the pattern repeat itself, rising back to 1010p highs?
- Shares -4% from 2019 highs; +28.6% from 2019 lows; +19.6% year to date
- Miners positive on China trade deal/stimulus hopes
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Antofagasta – An Example
Let’s say you like the Antofagasta range, you think it’s heading back up to 1010p again. You decide to buy exposure to £10,000 worth of Antofagasta using a CFD, at the current price of 937p. To do this, you need £2,000.
Let’s assume Antofagasta rises back to 1010p (+7.7%). Your profit would be £770, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 3% from the current price. Antofagasta falls 3% and hits your stop-loss. Your loss would be £300.
This is provided for information purposes only. It should not be taken as a recommendation.