Will Britvic turn, or will it continue beyond 843p summer high?

• The chart shows the Britvic price action since mid-October.
• Shares in a monthlong uptrend from 738p September lows; now at 811p.
• Shares -4.6% from 2018 highs; +22.4% from 2018 lows; -0.4% year-to-date.
• 23 Oct: Jefferies says Britvic has a favorable medium-term outlook with profits underpinned by cost savings.
• The shares have risen close to 10% in the past month. Will this momentum continue?
• Source: Bloomberg, FT, Reuters, DJ Newswires

Click to enlarge

Trading Britvic – 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 Britvic using a CFD, at the current price of 811p. To do this, you need £2,000.

Let’s assume Britvic trend continues to the 843p summer high (+4%). Your profit would be £400, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. Britvic falls 2% and hits your stop-loss. Your loss would be £200.

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