Will TalkTalk break support, or will it rise again back to 134p?

• The TalkTalk range has developed since August.
• Shares bounced off a 111p range floor 5 times. It is now at 114p (at time of writing)
• Will the pattern repeat itself, shares testing previous highs?
• Shares -25.4% from 2018 highs; +28.3% from 2018 lows; +0.2% 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 134p again. You decide to Buy exposure to £10,000 worth of TalkTalk using a CFD, at the current price of 114p. To do this, you need £2,000.

Let’s assume TalkTalk rises back to range ceiling around 134p (+17.5%). Your profit would be £1750, 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.