Domino’s UK & IRL
A trading opportunity for you?
Will Domino’s Pizza break support, or will it rise again back to 296p ?
- Domino’s Pizza has formed a support level since mid-Aug
- Bounced off 275p zone 4 times. Now trading 278.6p (at time of writing)
- Will the pattern repeat itself, bouncing up again towards 296p recent highs?
- Shares -28.6% from 2018 highs; +1.2% from 2018 lows; -19.4% year-to date
- Domino’s Pizza releases a Q3 trading update (13 weeks to 30 Sept) on 18 Oct.
Trading Domino’s Pizza – An Example
Let’s say you like the range, you think it’s heading back towards 296p again. You decide to buy exposure to £10,000 worth of Domino’s Pizza using a CFD, at the current price of 278.6p. To do this, you need £2,000.
Let’s assume Domino’s Pizza recovers back to 296p (+6.2%). Your profit would be £620, 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. Domino’s Pizza 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.