British Land
Is this trend a good trading opportunity?
Will British Land turn, or will it continue to fall to Decembr 2011 lows of 433p?
- The chart shows the British Land price action since late November.
- Shares in a 5-week downtrend from 618p late November highs; now at 526p.
- Shares falling since late November, when private equity consortimium exited takeover talks for rival real-estate developer Intu Properties.
- Shares -0.6% from 2019 highs; +0.8 2019 lows; -1.2% year-to-date
- In the last 5 weeks, the shares have fallen close to 14%.
- Will this negative momentum continue?
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading British Land – An Example
Let’s say the trend appeals to you, you think it’s likely to continue. You decide to sell short exposure to £10,000 worth of British Land using a CFD, at the current price of 526p. To do this, you need £2,000.
Let’s assume the British Land trend continues to Decembr 2011 lows of 433p (-17.7%). Your profit would be £1770, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 8% from the current price. British Land rises 8% and hits your stop-loss. Your loss would be £800.
This is provided for information purposes only. It should not be taken as a recommendation.