Vodafone
Is this trend a good trading opportunity?
Will Vodafone turn, or will it continue to rise to 171p Nov highs?
- Shares +10.5% in March; Broken above 143.5p to trade 2019 highs.
- Now trading 144.5p (at the time of writing).
- Will the positive momentum continue to 171p Nov highs?
- Shares -8.9% from 2019 highs; +10.4% from 2019 lows; -5.4% year-to-date.
- 5 Mar: Vodafone shrugs off Moody’s downgrade with €4bn bond issue
- Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal
Trading Vodafone – 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 Vodafone using a CFD, at the current price of 144.5p. To do this, you need £2,000.
Let’s assume the Vodafone trend continues to 171p Nov highs (+18.3%). Your profit would be £1830, 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. Vodafone falls 5% and hits your stop-loss. Your loss would be £500.
This is provided for information purposes only. It should not be taken as a recommendation.