Will Hikma turn, or will it continue to rise towards 1798p (+6.8)%?

• Breakout above 1673p to trade 1683p (at time of writing).
• The ‘trend is your friend’. Will it continue to 1798p (+6.8)%?
• Shares -9% from 2019 highs; +12.9% from 2019 lows; -1.9% year-to-date
• Forced selling related to UK 100 relegation should be complete
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Hikma – An Example

Let’s say the breakout appeals to you, you think it’s likely to continue towards 1798p. You decide to buy exposure to £10,000 worth of Hikma  using a CFD, at the current price of 1683p. To do this, you need £2,000.

Let’s assume the Hikma trend continues to 1798p (+6.8%). Your profit would be £680, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. Hikma breaks lower, falling 2% and it hits your stop-loss. Your loss would be £200.

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