Will TalkTalk break support, or will it rise again back to 137p?

• The TalkTalk range has developed since early August.
• Shares bounced off a 112p range floor 4 times. It is now at 116p (at time of writing)
• Will the pattern repeat itself, shares testing previous highs?
• Shares -25.3% from 2018 highs; +28.6% from 2018 lows; +1.5% year-to-date
• 14 Dec: Ofcom launches review of UK Broadband prices to make sure “best pricing” offered
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading TalkTalk – An Example

Let’s say you like the range, you think it’s heading back towards 135p again. You decide to Buy exposure to £10,000 worth of TalkTalk using a CFD, at the current price of 116p. To do this, you need £2,000.

Let’s assume TalkTalk rises back to range ceiling around 135p (+16.4%). Your profit would be £1640, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. TalkTalk falls 5% and hits your stop-loss. Your loss would be £500.

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