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

• The TalkTalk’s 112-134p range has developed since August.
• Twin support, horizontal to Aug, and rising to Feb
• Now at 116.9p (at time of writing)
• Will the pattern repeat itself, shares testing previous highs?
• Shares -0.7% from 2019 highs; +4.5% from 2019 lows; +2.6% year-to-date
• 14 Dec: Ofcom launches review of UK Broadband prices
• 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 116.9p. To do this, you need £2,000.

Let’s assume TalkTalk rises back to range ceiling around 134p (+14.6%). Your profit would be £1460, 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.