Cobham
A trading opportunity for you?
Will Cobham break support, or will it rise again to 112p?
- Rising support since Feb 2017; latest bounce at 98p
- Now trading 99.8p (at time of writing).
- Will the pattern repeat, the shares climbing back towards 112p?
- Shares -20.2% from 2019 highs; +3.5% from 2019 lows; +2.1% year-to-date.
- 15 May: Cobham settles tax dispute
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Cobham – An Example
Let’s say you like the Cobham chart and you think the price is heading back towards 112p again. You decide to buy exposure to £10,000 worth of Cobham using a CFD, at the current price of 98p. To do this, you need £2,000.
Let’s assume Cobham rises back to 112p highs (+14%). Your profit would be £1400, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 4% from the current price. Cobham falls 4% and hits your stop-loss. Your loss would be £400.
This is provided for information purposes only. It should not be taken as a recommendation.