Will Royal Bank of Scotland turn, or will it continue to march upwards to 302p?

• Shares +21% from 200p December lows.
• Broken above falling highs resistance from May.
• 17 Jan: RBS plans to accelerate re-privatisation.
• Currently 242p (at time of writing).
• Shares trade near 2019 highs; +12.2% from 2019 lows; +11.9% year-to-date.
• Will the strong positive momentum continue?
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading RBS – 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 RBS using a CFD, at the current price of 242p. To do this, you need £2,000.

Let’s assume RBS trend continues to 302p 2018 highs (+24.8%). Your profit would be £2480, 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. RBS 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.