Will Synthomer break resistance, or will it fall again back towards 375p?

• 357-411p rising channel since January
• Now 410p (at time of writing)
• Will the pattern repeat itself, falling back towards support at 375p?
• Shares -0.1% from 2019 highs; +18.2% from 2019 lows; +14.8% year-to-date
• 4 Mar: 2018 Pretax Profit Rose 39% on Asian Land Disposals
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading Synthomer – An Example

Let’s say you like the range, you think it’s heading back towards 375p again. You decide to sell exposure to £10,000 worth of Synthomer using a CFD, at the current price of 411p. To do this, you need £2,000.

Let’s assume Synthomer falls back to 375p lows (+8.7%). Your profit would be £870, 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. Synthomer 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.