Will Informa turn, or will it continue beyond 802p August highs?

• The chart shows Informa’s price action over the last 5 weeks.
• Shares in a week-long uptrend from 690p November lows; now at 743p.
• The shares have risen over 7% in the past week. Will this momentum continue?
• Shares -15% from 2018 highs; +12.5% from 2018 lows; +3% year-to-date.
• 12 Nov:  Deutsche Bank says Informa is achieving impressive growth and negatives around the stock are exaggerated.
• Source: Bloomberg, FT, Reuters, DJ Newswires

Click to enlarge

Trading Informa – An Example

Let’s say the trend appeals to you, you think it’s likely to continue. You decide to buy exposure to £10,000 worth of Informa using a CFD, at the current price of 743p. To do this, you need £2,000.

Let’s assume Informa trend continues to the 802p August highs (+8%). Your profit would be £800, 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. Informa falls 3% and hits your stop-loss. Your loss would be £300.

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