Direct Line reports FY Results on Tuesday, 5 Mar

• Last time Direct Line reported: Q3 Results, 6 Nov.
• The shares closed +1.5% for a daily range of 10.2p or 3.2%.
• Shares -0.3% from 2019 highs; +14.55% from 2019 lows; +11.9% year-to-date.
• Currently 356.7p (at time of writing).
• Could we see another big share price move on Tuesday?
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Direct Line – An Example

Let’s say you think that Direct Line results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Direct Line using CFDs, at the current price of 356.7p. To do this, you need £2,000.

For the purpose of this example, let’s assume Direct Line reports strong results and the shares rise 10%. Your profit would be £1000, from your initial investment of £2,000.

Conversely, let’s assume you open the position, and place a stop-loss 5% below the current price. Direct Line results miss, it falls 5% and hits your stop-loss. Your loss would be £500.

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