Is this an opportunity to take a position ahead of the results?

Hays reports results on Thursday (11th Oct)

• The chart shows the price movement last time Hays reported full-year results (30 August).
• The shares opened just 1p higher (+0.5%) with that level remaining the high of the day.
• Shares moved as low as -11p (-5.5%) and closed the session -8.8p (-4.3%).
• Reported growth was slow, with net fees just +2% in the UK market due to Brexit uncertainty.
• Shares -13.5% from 2018 highs; +4.8% from 2018 lows; flat year-to-date.
• Recent share price range: Oct lows 181p; Oct highs 210p. Currently 184p (at time of writing).
• Hays issues a first-quarter trading update on Thursday (11 Oct). Will we see another big move?

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Trading Hays – An Example

Let’s say you think that Hays results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Hays using CFDs, at the current price of 184p. To do this, you need £2,000.

For the purpose of this example, let’s assume Hays reports strong results and the shares rise 5%. Your profit would be £500, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss 4% below the current price. Hays results miss, it falls 4% and hits your stop-loss. Your loss would be £400.

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