Will Softcat turn, or will it maintain momentum to new record highs?

• Shares +11.6% since April lows; trading new all-time highs.
• Now trading 912p (at the time of writing).
• Will the positive momentum continue towards new record highs at 1100p?
• Shares -3% from 2019 highs; +61.7% from 2019 lows; +55.1% year-to-date.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Softcat – An Example

Let’s say the trend appeals to you, you think it’s likely to continue. You decide to buy exposure to £10,000 worth of Softcat using a CFD, at the current price of 912p. To do this, you need £2,000.

Let’s assume Softcat trend continues beyond 939p record highs to reach 1100p (+20%). Your profit would be £2000, from your initial investment of £2,000.

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