Will GlaxoSmithKline break resistance, or will it fall back to 1495p?

• 1495-1593p range since mid-Feb; Now 1568p (at time of writing)
• Will the pattern repeat itself, falling back to 1495p?
• Shares -2.5% from 2019 highs; +9.7% from 2019 lows; +5.2% year-to-date
• 24 May: Numis says Novartis gets a leg-up on GSK in Europe Asthma Drug Race
• 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 1495p again. You decide to buy exposure to £10,000 worth of GlaxoSmithKline using a CFD, at the current price of 1568p. To do this, you need £2,000.

Let’s assume GlaxoSmithKline falls back to 1495p (-4.6%). Your profit would be £460, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. GlaxoSmithKline rises 2% and hits your stop-loss. Your loss would be £200.

This is provided for information purposes only. It should not be taken as a recommendation.