Will AB Foods turn, or will it continue to rise towards 2655p?

• Breakout above 2563p; Now trading 2573p (at time of writing).
• The ‘trend is your friend’. Will it continue towards 2655p?
• Shares -0.3% from 2019 highs; +28% from 2019 lows; +26% year-to-date.
• 24 Apr: Shares rise on Primark’s solid first half results
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading AB Foods – An Example

Let’s say the breakout appeals to you, you think it’s likely to continue. You decide to buy exposure to £10,000 worth of AB Foods using a CFD, at the current price of 2573p. To do this, you need £2,000.

Let’s assume the AB Foods trend continues upwards to 2655p (+3.1%). Your profit would be £310, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. AB Foods breaks lower, falling 2% and it hits your stop-loss. Your loss would be £200.

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