Will Galliford break support, or will it rise again back to 900p?

• Rising support at 725p since  mid-Dec; Now 750p (at time of writing).
• Will the pattern repeat itself? Will the shares bounce off support again?
• Shares -37.7% from 2018 highs; +31.9% from 2018 lows; +20.2% year-to-date.
• 7 Nov: Construction trading in line; expects profits in-line with guidance.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Galliford – An Example

Let’s say you like the Galliford chart and you think the price is heading back towards 900p again. You decide to buy exposure to £10,000 worth of Galliford using a CFD, at the current price of 750p. To do this, you need £2,000.

Let’s assume Galliford rises back to 900p (+20%). Your profit would be £2000, 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. Galliford 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.