Will TalkTalk continue falling, or will it rise again back to 118p January’s highs?

• TalkTalk fallen -16.5% from January highs.
• Shares -8% today after telecom cut cutting profits guidance
• Now trades 100.5p (at time of writing).
• Shares -6.5% from 2019 highs; +1.3% from 2019 lows; -11.2% year-to-date.
• Can the stock recover to recent highs?
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading TalkTalk – An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards January’s high of 118p. You decide to buy exposure to £10,000 worth of TalkTalk using a CFD, at the current price of 100.5p. To do this, you need £2,000.

Let’s assume TalkTalk recovers back to 118p recent highs (+17.4%). Your profit would be £1740, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. TalkTalk falls 7% and hits your stop-loss. Your loss would be £700.

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