A trading opportunity for you?

Will Mediclinic continue falling, or will it rise again back to 506p August highs?

• Mediclinic shares have fallen over 14% in a single week to trade 384p (at time of writing).
• Shares almost -33.4% from 2018 highs; +13.16% from 2018 lows; -40.65% year-to-date.
• Latest trading update disappointed, with revenue per bed declining 2.8% YoY.
• Healthcare group also sees lower-than-expected revenue growth in the Middle East next year.
• Is the latest fall in the share price justified?
• Source: Dow Jones, Bloomberg, FT, Company News

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Trading Mediclinic – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 506p. You decide to buy exposure to £10,000 worth of Mediclinic using a CFD, at the current price of 384p. To do this, you need £2,000.

Let’s assume Mediclinic recovers back to 506p (+31.7%). Your profit would be £3,170, 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. Mediclinic 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.