A trading opportunity for you?
Will National Grid break support, or will it rise again back to highs of 891p?
- National Grid has intersecting support at 813p.
- Now trading 821p (at time of writing).
- Will the pattern repeat, the shares climbing back towards 891p?
- Shares -7.7% from 2019 highs; +10.4% from 2019 lows; +7.7% year-to-date.
- 11 Apr: Management sees trading in line with views
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading National Grid – An Example
Let’s say you like the National Grid chart and you think the price is heading back towards 891p again. You decide to buy exposure to £10,000 worth of National Grid using a CFD, at the current price of 821p. To do this, you need £2,000.
Let’s assume National Grid rises back to 891p (+8.5%). Your profit would be £850, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 3% from the current price. National Grid falls 3% and hits your stop-loss. Your loss would be £300.
This is provided for information purposes only. It should not be taken as a recommendation.