Will RBS continue falling, or will it recover April’s 266p highs?

• Shares down as much 12.5% from April highs
• Down 4.7% today after Q1 results to trade 238p (at time of writing)
• Shares -13.1% from 2019 highs; +13.9% from 2019 lows; -10.1% year-to-date.
• Can the stock recover April’s 266p highs?
• 26 Apr: Q1 results beat, but uncertain outlook disappoints
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading RBS – An Example

Let’s say you feel that the stock is a bargain and you think could bounce back towards 266p highs. You decide to buy exposure to £10,000 worth of RBS using a CFD, at the current price of 238p. To do this, you need £2,000.

Let’s assume RBS recovers back to 266p highs (+11.7%). Your profit would be £1170, 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. RBS 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.