Will AstraZeneca turn, or will it continue up towards 6539p?

• Breakout above 5900p to trade 6054p  (at time of writing).
• The ‘trend is your friend’. Will it continue towards 6539p?
• Shares -7.9% from 2019 highs; +13.4% from 2019 lows; +2.6% year-to-date.
• 20 May: FASENRA reduces oral corticosteroid use
• 13 May: Roxadustat results not a cause for concern says Morgan Stanley
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading AstraZeneca– An Example

Let’s say the breakout appeals to you, you think it’s likely to continue to 6539p . You decide to buy exposure to £10,000 worth of AstraZeneca using a CFD, at the current price 6054p (at time of writing). To do this, you need £2,000.

Let’s assume the AstraZeneca trend continues upwards to 6539p (+8%). Your profit would be £800, 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. AstraZeneca breaks lower, falling 3% and it hits your stop-loss. Your loss would be £300.

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