Is this trend a good trading opportunity?

Will Galliford Try turn, or will it continue to fall to July lows of 811p?

• The chart shows the Galliford Try price action over the past month.
• Shares in a 6-week uptrend from 216p August lows; now at 240p.
• Shares -15.3% from 2018 highs; +17.22% from 2018 lows; -11.4% year-to-date
• In the last 3 weeks, the shares have risen over 7%. Will this momentum continue?

Click to enlarge

Trading Galliford Try – 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 Galliford Try using a CFD, at the current price of 903p. To do this, you need £2,000.

Let’s assume Galliford Try trend continues to 811p July lows (-10.1%). Your profit would be £1,010, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. Galliford Try rises 7% and hits your stop-loss. Your loss would be £700.

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