Will Croda break support, or will it rise again back to 5241p?

• 4732-5241p range; rising channel since October  
• Resistance turned support at 4732p; Now 4762p (at time of writing)
• Will the pattern repeat itself, rising back to 5241p?
• Shares -8.3% from 2019 highs; +4.3% from 2019 lows; +1.6% year-to-date
• 25 Feb: Numis says Croda’s international growth drivers outshine sector
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading Croda – An Example

Let’s say you like the range, you think it’s heading back towards 5241p again. You decide to buy exposure to £10,000 worth of Croda using a CFD, at the current price of 4762p. To do this, you need £2,000.

Let’s assume Croda recovers back to 5241p (+10%). Your profit would be £1000, 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. Croda 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.