Will WPP break support, or will it rise back to 898p?

• 797-898p range since November, bounced off floor
• Now trades 808p (at time of writing)
• Will the pattern repeat itself, testing the 898p ceiling?
• Shares -10.2% from 2019 highs; +2.4% from 2019 lows; -4.3% year-to-date.
• Shares recently fallen on fears of slowing global growth. Overdone?
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading WPP – An Example

Let’s say you like the range, you think it’s heading back towards 898p again. You decide to buy exposure to £10,000 worth of WPP using a CFD, at the current price of 808p. To do this, you need £2,000.

Let’s assume WPP rises to 898p (+11.1%). Your profit would be £1110, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. WPP 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.