Will Metro continue falling, or will it recover to 700p (+33%)?

• Shares -35% from recent highs; Now 524p (at time of writing).
• Can the stock recover 700p highs (+33%)?
• Shares -76.4% from 2019 highs; +10.2% from 2019 lows; -69.1% year-to-date.
• 17May: Metro Bank soars as £375m fund-raising tops expectations
• Source: Bloomberg, FT, Reuters, DJ Newswires, AlphaTerminal

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Trading Metro Bank– An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards 700p. You decide to buy exposure to £10,000 worth of Metro Bank using a CFD, at the current price of 524p. To do this, you need £2,000.

Let’s assume Metro Bank recovers back to 700p highs (+33%). Your profit would be £3300, from your initial investment of £5,000.

Conversely, let’s assume you open the above position, and place a stop-loss at 5% from the current price. Metro Bank falls 5% and hits your stop-loss. Your loss would be £500.

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