Is this trend a good trading opportunity?

Will TUI turn, or will it continue to gain momentum toward 1,604p August highs?

• The chart shows price action in September.
• Shares have rallied +9.7% away from 2018 lows, and still 20.8% away from 2018 highs, -4.35% year-to-date
• Currently trading at 1,471p (as of the time of writing).
• Recent report confirmed full-year revenue growth guidance, giving investors more confidence in TUI’s Q4 performance.
• TUI shares are on a strong recent momentum, +10.6% in the last 2 weeks. Will the momentum continue?

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Trading TUI – An Example

Let’s say the trend appeals to you, you think it’s likely to continue. You decide to buy exposure to £10,000 worth of TUI using a CFD, at the current price of 1,471p. To do this, you need £2,000.

Let’s assume TUI trend continues to 1,604p August highs (+9%). Your profit would be £900, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% below the current price. TUI falls 5% and hits your stop-loss. Your loss would be £500.

This is provided for information purposes only. It should not be taken as a recommendation.