Will Sports Direct break support, or will it rise again back to 348p highs?

• Sports Direct has rising support since Oct 2016, bouncing 6 times, most recently today.
• Now trading 310.35p (at time of writing).
• Shares -25.6% from 2018 highs; +6.5% from 2018 lows; -17.6% year-to-date.
• 31 Oct: Expects at least 50% of existing Evans Cycles stores will remain open after £8m rescue
• Source: Bloomberg, FT, Reuters, DJ Newswires

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Trading Sports Direct – An Example

Let’s say you like the Sports Direct chart and you think the price is heading back towards 348p again. You decide to buy exposure to £10,000 worth of Sports Direct using a CFD, at the current price of 310p. To do this, you need £2,000.

Let’s assume Sports Direct rises back to 348p (+12.3%). Your profit would be £1230, 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. Sports Direct 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.