Barclays
A range trading opportunity for you?
Will Barclays break resistance, or will it fall again back to 153p?
- 153-170p range since January; Now 168p (at time of writing)
- Will the pattern repeat itself, falling back to 153p?
- Shares -1% from 2019 highs; +15.8% from 2019 lows; +11.9% year-to-date
- US Q1 Banks quarterly results not so great thus far
- 16 Apr: Jefferies says tough trading outlook bodes poorly for ‘s
- Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal
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Trading Barclays – An Example
Let’s say you like the range, you think it’s heading back towards 153p again. You decide to sell exposure to £10,000 worth of Barclays using a CFD, at the current price of 168p. To do this, you need £2,000.
Let’s assume Barclays falls back to 153p (+9%). Your profit would be £900, 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. Barclays rises 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.