Berkeley Group
A range trading opportunity for you?
Will Berkeley Group break support, or will it rise again to 3984p highs?
- Rising support since mid-Jan; Last bounce at 3810p
- Now trading 3835p (at time of writing)
- Will the pattern repeat itself, rising back to recent 3984p highs?
- Shares -4% from 2019 highs; +13.4% from 2019 lows; +10.2% year to date
- 15 Mar: UBS says BKG is stable but prepared for Brexit
- 15 Mar: Canaccord says BKG update is reassuring
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Berkeley Group – An Example
Let’s say you like the Berkeley range, you think it’s heading back up to 3984p again. You decide to buy exposure to £10,000 worth of Berkeley using a CFD, at the current price of 3835p. To do this, you need £2,000.
Let’s assume Berkeley rises back to 3984p (+3.8%). Your profit would be £380, 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. Berkeley 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.