Will TP ICAP turn, or will it continue to rise beyond 430p July highs?

• The chart shows TP ICAP price action in October.
• Shares +9% in the past week, now at 292p (at the time of writing). Will this momentum continue?
• Shares -48.3% from 2018 highs; +18% from 2018 lows; -45% year-to-date.
• Financial services stocks are are on the rise after The Times reported that UK and EU struck a deal on post-Brexit financial services relationship, lifting a veil of uncertainty.
• Source: Bloomberg, FT, Reuters, DJ Newswires

Click to enlarge

Trading TP ICAP – 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 TP ICAP using a CFD, at the current price of 292p. To do this, you need £2,000.

Let’s assume the TP ICAP trend continues to July highs of 430p (+47.2%). Your profit would be £4720, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 9% from the current price. TP ICAP falls 9% and hits your stop-loss. Your loss would be £900.

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