Will Greggs break support, or will it rise back to 1628p?

• 1539-1628p narrowing range since late January.
• 3 bounces from support zone.
• Now trading 1552p (at time of writing)
• Will the pattern repeat itself, rising back to February highs of 1628p ?
• Shares -4.6% from 2019 highs; +23.5% from 2019 lows; +22.6% year-to-date.
• 12 Feb: UBS says Greggs remains well positioned to sustain strong growth.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Greggs – An Example

Let’s say you like the Greggs chart and you think the price is heading back towards 1628p again. You decide to buy exposure to £10,000 worth of Greggs using a CFD, at the current price of 1552p. To do this, you need £2,000.

Let’s assume Greggs rises back to 1628p Feb highs (+4.9%). Your profit would be £490, 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. Greggs 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.