Will AstraZeneca break lower, or will it rise back again to 6250p?

• The AstraZeneca range has developed since January, bouncing 10 times, most recently today
• Now trading 5917p (at time of writing)
• Will the pattern repeat itself, testing previous highs?
• Shares -7.2% from 2018 highs; +31.3% from 2018 lows; +15.7% year-to-date
• 20 Dec: Cancer drug Lynparza gets US approval; anaemia drug successful
• 18 Dec: Anaemia drug gets first approval from China
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading AstraZeneca  – An Example

Let’s say you like the AstraZeneca  range, you think it’s heading back towards 6250p again. You decide to buy exposure to £10,000 worth of AstraZeneca  using a CFD, at the current price of 5917p. To do this, you need £2,000.

Let’s assume AstraZeneca rises back to 6250p (+5.6%). Your profit would be £560, 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. AstraZeneca 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.