Will Hunting break support, or will it rise again back to 844p?

• Hunting has a support level since March, with the latest bounce off 648p this week.
• Now trading 677p (at time of writing).
• Shares -30.5% from 2018 highs; +16.8% from 2018 lows; +11.7% year-to-date.
• Will the pattern repeat itself? Will the shares bounce off support again?
• Hunting is an oil & gas services company
• 30 Oct: Hunting says Q3 revenues steady, backs full-year outlook
• 26 Oct: Numis expects Hunting to flag ongoing momentum in Q3 results
• Source: Bloomberg, FT, Reuters, DJ Newswires

Click to enlarge

Trading Hunting – An Example

Let’s say you like the Hunting chart and you think the price is heading back towards 844p again. You decide to buy exposure to £10,000 worth of Hunting using a CFD, at the current price of 677p. To do this, you need £2,000.

Let’s assume Hunting rises back to 844p (+24.7%). Your profit would be £2470, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. Hunting falls 7% and hits your stop-loss. Your loss would be £700.

This is provided for information purposes only. It should not be taken as a recommendation.