Will CYBG turn, or will it continue to fall towards 172p?

• Breakdown below 200p to trade 193p  (at time of writing).
• The ‘trend is your friend’. Will it continue down towards 172p?
• Shares -12.1% from 2019 highs; +12.4% from 2019 lows; +6.7% year-to-date.
• 28 Mar: Upgraded to Equalweight From Underweight by Barclays
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading CYBG – An Example

Let’s say the breakdown appeals to you, you think it’s likely to continue to 172p . You decide to sell exposure to £10,000 worth of CYBG using a CFD, at the current price 193p (at time of writing). To do this, you need £2,000.

Let’s assume the CYBG trend continues down towards 172p (-10.8%). Your profit would be £1080, 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. CYBG breaks higher, rising 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.