Will Dart continue falling, or will it rise again back to 985p?

• Dart shares have fallen close to 15% from yesterday’s highs.
• Shares falling after the leisure travel & logistics company warned of increased H2 losses after higher investments.
• Currently trading at 838p (at time of writing).
• Shares -20.3% from 2018 highs; +32.8% from 2018 lows; +23.7% year-to-date.
• Recent share price range: Nov highs 985p; Oct lows 804p.
• Can the stock recover to November highs?
• Source: Dow Jones, Bloomberg, FT, Company News

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Trading Dart – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to November highs of 985p. You decide to buy exposure to £10,000 worth of Dart using a CFD, at the current price of 838p. To do this, you need £2,000.

Let’s assume Dart recovers back to 985p November highs (+17.5%). Your profit would be £1750, from your initial investment of £2000.

Conversely, let’s assume you open the above position, and place a stop-loss at 7% from the current price. Dart falls 7% and hits your stop-loss. Your loss would be £700.

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