A trading opportunity for you?
Will Grainger break support, or will it rise again back to 259p ?
- Rising support at 229p (at time of writing).
- Will the pattern repeat? Will the shares bounce to 259p again?
- Shares -22.0% from 2018 highs; +12.0% from 2018 lows; +9.3% year-to-date.
- 18 Dec: Grainger to acquire Rental Development in Birmingham for £77m
- 29 Nov: S&P Ratings agency upgrades Grainger to ‘BB+’; Outlook Stable
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Grainger – An Example
Let’s say you like the Grainger chart and you think the price is heading back towards 259p again. You decide to buy exposure to £10,000 worth of Grainger using a CFD, at the current price of 229p. To do this, you need £2,000.
Let’s assume Grainger rises back to Nov highs of 259p (+13.1%). Your profit would be £1310, 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. Grainger 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.