Will Ashtead turn, or will it continue to rise towards range highs of 2400p (+13.5%)?

• Breakout above 2062p to trade 2114p (at time of writing).
• Shares +15% from recent lows; rising channel
• The ‘trend is your friend’. Will it continue towards highs of 2400p (+13.5%)?
• Shares -4.5% from 2019 highs; +33.3% from 2019 lows; +29.1% year-to-date.
• 18 Jun: Ashtead can keep growing through modest downturn says Jefferies
• 18 Jun: Ashtead shares ignore growth potential says Peel Hunt
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Ashtead – An Example

Let’s say the breakdown appeals to you, you think it’s likely to continue to 2400p . You decide to buy exposure to £10,000 worth of Ashtead using a CFD, at the current price 2114p (at time of writing). To do this, you need £2,000.

Let’s assume the Ashtead trend continues towards 2400p? (+13.5%). Your profit would be £1350, 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. Ashtead falls 5% and it hits your stop-loss. Your loss would be £500.

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