Will Elementis continue falling, or will it recover to 179p April highs?

• Shares down 11.6% from April highs; Now 160p (at time of writing).
• Shares -9% today after profits warnings on difficult markets
• Can the stock recover recent 179p highs?
• Shares -19% from 2019 highs; +7.7% from 2019 lows; -11.6% year-to-date.
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading Elementis – An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards 179p. You decide to buy exposure to £10,000 worth of Elementis using a CFD, at the current price of 160p. To do this, you need £2,000.

Let’s assume Elementis recovers back to 179p April highs (+11%). Your profit would be £1100, 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. Elementis falls 3% and hits your stop-loss. Your loss would be £300.

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