RELX
A trading opportunity for you?
Will RELX continue falling, or will it rise again back to 1750p?
- The price has fallen over 12% from 2018 highs.
- Shares are close to a support level around 1,503p (6 bounces since April)
- Negative momentum since August, shares down over 10% in 5 weeks.
- It has been as high as 1,750p in August. It is now at 1,511p.
Trading RELX – An Example
Let’s say you feel that the stock is a bargain and you think could bounce back towards August level of 1,750p again. You decide to buy exposure to £10,000 worth of RELX using a CFD, at the current price of 1,511p. To do this, you need £2,000.
Let’s assume RELX recovers back to 1,750p. Your profit would be £1,580, from your initial investment of £2,000.
Conversely, let’s assume you open the above position, and place a stop-loss at 8% from the current price, at 1,511p. RELX falls 8% and hits your stop-loss. Your loss would be £800.
This is provided for information purposes only. It should not be taken as a recommendation.