Will GlaxoSmithKline break resistance, or will it fall back to 1429p?

• Sideways range since October.
• Resistance again 1600p. Now 1567p (at time of writing)
• Will the pattern repeat itself, shares testing prior 1429p lows?
• Shares -1.3% from 2019 highs; +11% from 2019 lows; +6.5% year-to-date
• 20 Mar: Dostarlimab Looks Like It Can Compete With Rival: Shore Capital
• 19 Mar: Cabotegravir Poised to Launch in Promising Market, Says Expert: UBS
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading GlaxoSmithKline – An Example

Let’s say you like the GlaxoSmithKline range, you think it’s heading back down to 1429p again. You decide to sell exposure to £10,000 worth of GlaxoSmithKline using a CFD, at the current price of 1567p. To do this, you need £2,000.

Let’s assume GlaxoSmithKline falls back to 1429p (-9.9%). Your profit would be £990, 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. GlaxoSmithKline 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.