Sports Direct
A trading opportunity for you?
Will Sports Direct break support, or will it rise again back to 298p highs?
- Rising support since early Jan; Bounced 10 times.
- Now trading 273p (at time of writing).
- Shares -38.1% from 2018 highs; +22.1% from 2018 lows; +14.3% year-to-date.
- 11 Feb: Sports Direct withdraws bid for Patisserie Valerie
- 1 Feb: Sports Direct’s Mike Ashley reaches deal to buy Sofa.com
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Sports Direct – An Example
Let’s say you like the Sports Direct chart and you think the price is heading back towards 298p again. You decide to buy exposure to £10,000 worth of Sports Direct using a CFD, at the current price of 273p. To do this, you need £2,000.
Let’s assume Sports Direct rises back to 298p (+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 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.