Randgold Resources
Is this an opportunity to take a position ahead of the results?
Randgold Resources reports results on Tuesday, 6 November
- The chart shows the price movement last time Randgold Resources reported: H1 Results, 9 August.
- Shares opened -68p (-1.2%), fell as low as -178p (-3.2%), but rose as high as +136p (+2.5%, high of the day) later in the session.
- The shares closed +100p (+1.8%) for a daily range of 314p or 5.7%.
- H1 net profit fell 38% as group revenue dropped on lower gold production and costs rose.
- Shares -15.4% from 2018 highs; +37.1% from 2018 lows; -14.5% year-to-date.
- Recent share price range: Oct lows 5236p; Oct highs 6595p. Currently 6335p (at time of writing).
- Randgold Resources publishes Q3 Results on Tuesday, 6 Nov.
- Will we see another big move?
- Source: Bloomberg, FT, Reuters, DJ Newswires
Trading Randgold Resources – An Example
Let’s say you think that Randgold Resources results are likely to be good, and the share price is likely to rise. You decide to buy exposure to £10,000 worth of Randgold Resources using CFDs, at the current price of 6335p. To do this, you need £2,000.
For the purpose of this example, let’s assume Randgold Resources reports strong results and the shares rise 10%. Your profit would be £1,000, from your initial investment of £2,000.
Conversely, let’s assume you open the position, and place a stop-loss 5% below the current price. Randgold Resources results miss, it 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.