A trading opportunity for you?

Will Ashtead continue falling, or will it rise again back to 2,450p Summer highs?

• Ashtead shares have fallen over 17% in the past 2 weeks to trade 2,007p (at time of writing).
• Shares almost -20% from 2018 highs; +6% from 2018 lows; flat year-to-date.
• Company’s exposure to the recently volatile US market has pulled the shares down.
• Ashtead makes 92% of its profits in the US.
• Source: Dow Jones, Bloomberg, FT, Company News

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Trading Ashtead – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 2,450p. You decide to buy exposure to £10,000 worth of Ashtead using a CFD, at the current price of 2,007p. To do this, you need £2,000.

Let’s assume Ashtead recovers back to 2,450p (+22%). Your profit would be £2,200, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 10% from the current price. Ashtead  falls 10% and hits your stop-loss. Your loss would be £1,000.

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