Will Tullow Oil turn, or will it continue to rise towards 273p?

• Breakout above 241p to trade 246p  (at time of writing).
• The ‘trend is your friend’. Will it continue towards 273p?
• Shares -0.1% from 2019 highs; +44.2% from 2019 lows; +37.4% year-to-date.
• 29 Mar: Eco Atlantic Partners approve budget, location for new Guyana well
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Tullow Oil– An Example

Let’s say the breakout appeals to you, you think it’s likely to continue to 273p . You decide to buy exposure to £10,000 worth of Tulllow using a CFD, at the current price 246p (at time of writing). To do this, you need £2,000.

Let’s assume the Tulllow trend continues upwards to 273p (+10.9%). Your profit would be £1090, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price.  Tulllow breaks lower, falling 5% and it hits your stop-loss. Your loss would be £500.

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