A trading opportunity for you?

Will Imperial Brands continue falling, or will it rise again back to 2,726p recent highs?

• Imperial Brands shares have fallen 5.3% in the past 2 weeks to trade 2,576p (at time of writing).
• Shares -16.1% from 2018 highs; +16.5% from 2018 lows; -19.6% year-to-date.
• Imperial Brands is a type of defensive stock that tends to suffer when markets rally or rebound.
• UK Index rebound from recent lows soured interest in Imperial Brands, leading to a sell-off.
• Will the shares bounce back?
• Source: Dow Jones, Bloomberg, FT, Company News

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Trading Imperial Brands – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 2,726p. You decide to buy exposure to £10,000 worth of Imperial Brands using a CFD, at the current price of 2,576p. To do this, you need £2,000.

Let’s assume Imperial Brands recovers back to 2,726p (+5.8%). Your profit would be £580, 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. Imperial Brands 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.