BP
A trading opportunity for you?
Will BP break support, or will it rise again to 581p?
- December uptrend channel, 4 bounces, now 537p (at time of writing).
- Will the pattern repeat, the shares climbing back towards 581p April highs?
- Shares -7.8% from 2019 highs; +10.7% from 2019 lows; +8.5% year-to-date.
- 12 Jun: BP and Reliance joint venture to invest $5B to develop India Gas Blocks
- 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 537p. To do this, you need £2,000.
Let’s assume BP rises back to 581p highs (+8%). Your profit would be £800, 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. BP 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.