Marks & Spencer
A range trading opportunity for you?
Will Marks & Spencer break support, or will it rise again to 306p Feb highs?
- Rising support since December, latest bounce off 265p.
- Bounced multiple times from support to trade 272p (at time of writing)
- Will the pattern repeat itself, rising back to recent highs of 306?
- Shares -10.65% from 2019 highs; +12.4% from 2019 lows; +10.7% year-to-date.
- Brexit extension optimism helps EU-sensitive Supermarkets.
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Marks & Spencer – An Example
Let’s say you like the Marks & Spencer range, you think it’s heading back up to 272p again. You decide to buy exposure to £10,000 worth of Marks & Spencer using a CFD, at the current price of 817p. To do this, you need £2,000.
Let’s assume Marks & Spencer rises back to 306p Feb highs (+12.5%). Your profit would be £1250, 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. Marks & Spencer 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.