BHP
Is this an opportunity to take a position ahead of the results?
BHP issues a 9M Operations Review on Weds, 17 Apr
- Last time BHP reported: H1 Results, 19 Feb.
- The shares fell as much as -2.9% for a daily range of 55p or 3.1%.
- Shares -2.8% from 2019 highs; +22.2% from 2019 lows; +15.0% year-to-date.
- Currently 1900p (at time of writing).
- Will we see another big share price move on Wednesday?
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
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Trading BHP – An Example
Let’s say you think that BHP results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of BHP using CFDs, at the current price of 1900p. To do this, you need £2,000.
For the purpose of this example, let’s assume BHP 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. BHP 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.