GVC
Is this trend a good trading opportunity?
Will GVC turn, or will it continue to fall to 420p Jan 2016 lows?
- Shares -30% in less than 4 weeks.
- Shares trading near April 2016 lows.
- Now trading 513p (at the time of writing).
- Will the positive momentum continue to 420p Jan 2016 lows?
- Shares -32.4% from 2019 highs; +1.5% from 2019 lows; +23.8% year-to-date.
- 22 Mar: GVC Chairman Feldman to step down at or before next AGM.
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
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Trading GVC – An Example
Let’s say the trend appeals to you, you think it’s likely to continue. You decide to sell exposure to £10,000 worth of GVC using a CFD, at the current price of 513p. To do this, you need £2,000.
Let’s assume the GVC trend continues to 420p Jan 2016 lows (-18.1%). Your profit would be £1810, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 6% from the current price. GVC rises 6% and hits your stop-loss. Your loss would be £600.
This is provided for information purposes only. It should not be taken as a recommendation.