Will IMI turn, or will it rise back to Aug highs of 1229p?

• Breakout above 1041p to trade 1064p  (at time of writing).
• The ‘trend is your friend’. Will it continue towards 1229p?
• Shares -0.5% from 2019 highs; +18.7% from 2019 lows; +12.8% year-to-date.
• 1 Mar: IMI posts rises in both 2018 pretax profits and revenues
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading IMI – An Example

Let’s say the breakout appeals to you, you think it’s likely to continue to 1229p . You decide to buy exposure to £10,000 worth of IMI using a CFD, at the current price 1064p (at time of writing). To do this, you need £2,000.

Let’s assume the IMI trend continues upwards to 1229p (+15.5%). Your profit would be £1550, 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. IMI 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.