A trading opportunity for you?
Will BP break support, or will it rise again to 581p?
- December Uptrend, 3 bounces, now 541p (at time of writing).
- Will the pattern repeat, the shares climbing back towards 581p?
- Shares -7.1% from 2019 highs; +11.4% from 2019 lows; +9.2% year-to-date.
- 30 Apr: Q1 Profits beat market expectations; dividend +2.5%
- Oil prices high on supply jitters
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading BP – An Example
Let’s say you like the BP chart and you think the price is heading back towards 581p again. You decide to buy exposure to £10,000 worth of BP using a CFD, at the current price of 541p. To do this, you need £2,000.
Let’s assume BP rises back to 581p highs (+7.3%). Your profit would be £730, 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. BP 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.