A range trading opportunity for you?

Will InterContinental break support, or will it rise again back to 4993p?

• Range developed over last 4.5 months
• Bounced off 4590p zone 9 times in September. Now trading 4691p (at time of writing)
• Will the pattern repeat itself, testing previous highs?
• Shares -8.3% from 2018 highs; +11.3% from 2018 lows; -0.6% year-to-date
• The CEO (7 Aug) said the group added 3 new brands in last year aiming to capture more US and China customers searching for lower prices and luxury experiences.

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Trading InterContinental – An Example

Let’s say you like the range, you think it’s heading back towards 4993p again. You decide to buy exposure to £10,000 worth of InterContinental using a CFD, at the current price of 4695p. To do this, you need £2,000.

Let’s assume InterContinental recovers back to 4993p (6.3%). Your profit would be £632, 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. InterContinental 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.