Inmarsat
A trading opportunity for you?
Will Inmarsat break support, or will it rise again back to 571p ?
- Support level since mid-September
- Bounced off 485p zone 4 times. Now trading 501p (at time of writing)
- Will the pattern repeat itself, bouncing up again towards 571p Aug highs?
- Shares -23.1% from 2018 highs; +48.6% from 2018 lows; +2.3% year-to date
- Analysts at Berenberg (20 Sept) say Inmarsat’s aviation division is set to receive a boost from its in-flight connectivity partnership with Panasonic
Trading Inmarsat – An Example
Let’s say you like the range, you think it’s heading back towards 571p again. You decide to buy exposure to £10,000 worth of Inmarsat using a CFD, at the current price of 501p. To do this, you need £2,000.
Let’s assume Inmarsat recovers back to 571p (+13.9%). Your profit would be £1,397, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss 5% below the current price. Inmarsat 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.