Does this Upgrade present an opportunity for you?
Is it irrelevant, or will the Upgrade make the Shell A share price more attractive?
- Landesbank Baden-Wuerttemberg upgrades to Buy (from Hold), with a price target of 2700p.
- Current share price 2464p (at time of writing).
- Shares now trade -12.5% from 2018 highs; +13.4% from 2018 lows; +6.7% year-to date
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Shell A– An Example
Let’s say you think that Shell A shares have upside potential as result of this broker upgrade. You decide to buy exposure to £10,000 worth of Shell A using a CFD, at the current price of 2464p. To do this, you need £2,000.
For the purpose of this example, let’s assume the Shell A share price rises to 2700p (+9.6%). Your profit would be £960 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. Shell A shares fall 5% and hit your stop-loss. Your loss would be £500
This is provided for information purposes only. It should not be taken as a recommendation.