Will Reckitt Benckiser break support, or will it rise again back to 7150p highs?

• Reckitt Benckiser has a support level at 6287p since late June, bouncing 4 times, most recently this week.
• Now trading 6331p (at time of writing).
• Shares -12.0% from 2018 highs; +20.1% from 2018 lows; -8.4% year-to-date.
• 30 Oct: Reckitt Benckiser sees 2018 like-for-like revenue growth at upper end of 2%-3% range
• Reckitt Benckiser says baby food plant disruption resolved and supply restored before end-Q3
• Source: Bloomberg, FT, Reuters, DJ Newswires

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Trading Reckitt Benckiser – An Example

Let’s say you like the Reckitt Benckiser chart and you think the price is heading back towards 7150p again. You decide to buy exposure to £10,000 worth of Reckitt Benckiser using a CFD, at the current price of 6331p. To do this, you need £2,000.

Let’s assume Reckitt Benckiser rises back to 7150p (+12.9%). Your profit would be £1290, 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. Reckitt Benckiser 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.