Will easyJet continue falling, or will it recover to last week’s 1367p highs?

• easyJet shares -11% from Feb highs.
• Shares bounced 5 times from mid-Dec rising support
• Latest bounce off 1214p last week.
• Now trades 1233p (at time of writing).
• Shares -9.7% from 2019 highs; +14.5% from 2019 lows; +11.7% year-to-date.
• Can the stock recover to recent highs?
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading easyJet – An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards 1367p. You decide to buy exposure to £10,000 worth of easyJet using a CFD, at the current price of 1233p. To do this, you need £2,000.

Let’s assume easyJet recovers back to last week’s 1367p highs (+10.8%). Your profit would be £1080, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 4% from the current price. easyJet 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.