Will Paddy Power Betfair break support, or will it rise again back to 7315p range ceiling?

• The Paddy Power Betfair range has developed since early October.
• Shares bounced off a 6007p zone 5 times. It is now at 6225p (at time of writing)
• Will the pattern repeat itself, shares testing previous highs?
• Shares -9.7% from 2019 highs; +3.7% from 2019 lows; -3.6% year-to-date
• Source: Dow Jones, Bloomberg, FT, Company News, ALphaTerminal

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Trading Paddy Power Betfair – An Example

Let’s say you like the range, you think it’s heading back towards 7315p again. You decide to Buy exposure to £10,000 worth of Paddy Power Betfair using a CFD, at the current price of 6225p. To do this, you need £2,000.

Let’s assume Paddy Power Betfair rises back to range ceiling around 7315p (+17.5%). Your profit would be £1750, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 8% from the current price. Paddy Power Betfair falls 8% and hits your stop-loss. Your loss would be £800.

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