Will Kingfisher turn, or will it continue up towards 259p?

• Breakout above 234 to trade 237p  (at time of writing).
• The ‘trend is your friend’. Will it continue towards 259p?
• Shares -2.1% from 2019 highs; +13.1% from 2019 lows; +14.4% year-to-date.
• 19 Feb: UK Retail Sales growth accelerated again in Feb
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Kingfisher – An Example

Let’s say the breakout appeals to you, you think it’s likely to continue to 259p . You decide to buy exposure to £10,000 worth of Kingfisher using a CFD, at the current price 237p (at time of writing). To do this, you need £2,000.

Let’s assume the Kingfisher trend continues upwards to 259p (+9.2%). Your profit would be £920, 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. Kingfisher breaks lower, falling 3% and it hits your stop-loss. Your loss would be £300.

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