Will Coca-Cola HBC break support, or will it rise again back to 2440p?

• The Coca-Cola HBC range has developed since early October.
• Bounced off support zone around 2234p 7 times, most recently yesterday.
• Currently trading 2281p (at time of writing)
• Will the pattern repeat itself, testing previous highs?
• Shares -18.4% from 2018 highs; +5.6% from 2018 lows; -5.7% year-to-date
• 8 Nov: Q3 revenue rose 2.6% in latest report.
• 8 Nov: Jefferies said investors should “expect modest relief rally […] after recent weak performance”
• Source: Bloomberg, FT, Reuters, DJ Newswires

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Trading Coca-Cola HBC – An Example

Let’s say you like the range, you think it’s heading back towards 2440p again. You decide to buy exposure to £10,000 worth of Coca-Cola HBC using a CFD, at the current price of 2281p. To do this, you need £2,000.

Let’s assume Coca-Cola HBC recovers back to 2440p (+7%). Your profit would be £700, 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. Coca-Cola HBC 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.