Mediclinic
A range trading opportunity for you?
Will Mediclinic break support, or will it rise again to 355p (+15%)?
- 293-355p range since December; Now trading 307p (at time of writing)
- Will the pattern repeat itself, shares testing 355p highs (+15%)?
- Shares -13.9% from 2019 highs; +6.6% from 2019 lows; -4.7% year-to-date
- 3 Jun: Earnings to top hopes in 2019-20 says BoAML
- Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal
Trading Mediclinic – An Example
Let’s say you like the range, you think it’s heading back towards 355p again. You decide to Buy exposure to £10,000 worth of Mediclinic using a CFD, at the current price of 307p. To do this, you need £2,000.
Let’s assume Mediclinic rises back to range ceiling at 355p (+15%). Your profit would be £1500, 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. Mediclinic 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.