Will Antofagasta fall back, or will it rise again to 875p?

• The Antofagasta range has developed since October .
• Bounced off rising support 4 times, most recently this week.
• Now trading 768p (at time of writing).
• Will the pattern repeat itself, testing previous highs?
• Shares -35.4% from 2018 highs; +6.1% from 2018 lows; -23.6% year-to-date.
• Copper prices are off 3-month lows
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

Click to enlarge

Trading Antofagasta – An Example

Let’s say you like the Antofagasta range, you think it’s heading back towards 875p again. You decide to buy exposure to £10,000 worth of Antofagasta using a CFD, at the current price of 768p. To do this, you need £2,000.

Let’s assume Antofagasta rises back to 875p (+13.9%). Your profit would be £1390, 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. Antofagasta 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.