Aveva
A trading opportunity for you?
Will Aveva break support, or will it rise again back to 2995p ?
- Aveva has support at 2579p since late July
- Bounced off support level 5 times. Now trading 2612p (at time of writing)
- Will the pattern repeat itself, bouncing up again towards 2995p?
- Shares -15.2% from 2018 highs; +46.1% from 2018 lows; -5.8% year-to date
- 19 Sept: Numis says Aveva’s new medium-term targets set it up well
- 19 Sept: Aveva sets new revenue, margin targets; backs FY 2019 views
- Source: Bloomberg, FT, Reuters, DJ Newswires
Trading Aveva – An Example
Let’s say you like the range, you think it’s heading back towards 2995p again. You decide to buy exposure to £10,000 worth of Aveva using a CFD, at the current price of 2612p. To do this, you need £2,000.
Let’s assume Aveva recovers back to 2995p (+14.6%). Your profit would be £1460, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss 5% below the current price. Aveva 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.