Will BAE Systems break support, or will it rise back to 508p?

• 3rd bounce off floor of narrowing range.
• Trading 467p (at time of writing)
• Will the pattern repeat itself, rising back to the 508p ceiling?
• Shares -11.9% from 2019 highs; +3.6% from 2019 lows; +1.7% year-to-date.
• 9 May: Trading in Line With Views; reiterates profit and debt guidance
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading BAE Systems– An Example

Let’s say you like the range, you think it’s heading back towards 508p again. You decide to buy exposure to £10,000 worth of BAE Systems using a CFD, at the current price of 467p. To do this, you need £2,000.

Let’s assume BAE Systems rises to 508p (+8.7%). Your profit would be £870, 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. BAE Systems 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.