Will BAE Systems turn, or will it continue to rise towards 543p November highs?

• The chart shows BAE Systems price action since early November.
• Shares trading close to 2019 highs; +9.6% from 2019 lows; +8% year-to-date.
• Shares have rallied over 11% since Christmas.
• Now trading at 496p (at the time of writing)
• 10 Jan: BAE Systems to open new innovation hub at the Georgia Cyber Center.
• Will the strong positive momentum continue?
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading BAE Systems – 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 BAE Systems using a CFD, at the current price of 496p. To do this, you need £2,000.

Let’s assume the BAE Systems trend continues to 543p November highs (+9.4%). Your profit would be £940, 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. BAE Systems 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.