Will Persimmon turn, or will it continue to rise towards 2476p?

• Breakout above 2314p to trade fresh April highs
• Now 2330p (at time of writing).
• Shares -6.3% from 2019 highs; +23.3% from 2019 lows; +20.9% year-to-date
• Housebuilder shares benefiting from delayed Brexit
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Persimmon – An Example

Let’s say the breakout appeals to you, you think it’s likely to continue towards 2476p. You decide to buy exposure to £10,000 worth of Persimmon using a CFD, at the current price of 2330p. To do this, you need £2,000.

Let’s assume the Persimmon trend continues to highs of 2476p(+6.2%). Your profit would be £620, 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. Persimmon 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.