A trading opportunity for you?
Will Smiths Group break support, or will it rise again to 1505p?
- Rising support since Oct; horizontal since early Jan at 1408p.
- Now trading 1428p (at time of writing).
- Will the pattern repeat, the shares climbing back towards 1505p Feb highs?
- Shares -5.15% from 2019 highs; +7.3% from 2019 lows; +4.7% year-to-date.
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Smiths Group – An Example
Let’s say you like the Smiths Group chart and you think the price is heading back towards 1505p again. You decide to buy exposure to £10,000 worth of Smiths Group using a CFD, at the current price of 1428p. To do this, you need £2,000.
Let’s assume Smiths Group rises back to 1505p Feb highs (+5.3%). Your profit would be £530, 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. Smiths Group 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.