Will Mitchells Butler break support, or will it rise again back to 276p highs?

• Mitchells Butler has support at 246p; horizontal since August and rising since Feb 2018
• The share shave bounced 6 times, most recently last week
• Now trading 253p (at time of writing).
• Will the pattern repeat itself, with the shares bouncing off support again?
• Shares -12.1% from 2018 highs; +9.4% from 2018 lows; -1.3% year-to-date.
• 22 Nov: Mitchells Butler move to eschew dividend may pay off says Citi
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Mitchells Butler – An Example

Let’s say you like the Mitchells Butler chart and you think the price is heading back towards 276p again. You decide to buy exposure to £10,000 worth of Mitchells Butler using a CFD, at the current price of 253p. To do this, you need £2,000.

Let’s assume Mitchells Butler rises back to 276p highs (+9.1%). Your profit would be £910, 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. Mitchells Butler 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.