Will ITV continue falling, or will it rise again back to this week’s 138p highs?

• ITV shares have fallen over 6% from yesterday’s highs
• Shares falling after Bank of America double downgraded to stock to Underperform from Buy.
• Currently trading 130.9p (at time of writing).
• Shares -7.6% from 2019 highs; +1.8% from 2018 lows; +4.6% year-to-date.
• 8 Jan: Brokers at Liberum say ITV’s share weakness has gone too far.
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading ITV – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 138p. You decide to buy exposure to £10,000 worth of ITV using a CFD, at the current price of 130.9p. To do this, you need £2,000.

Let’s assume ITV recovers back to 138p (+5.4%). Your profit would be £540, from your initial investment of £2,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 2% from the current price. ITV falls 2% and hits your stop-loss. Your loss would be £200.

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