Will Ryanair continue falling, or will it rise again back to this week’s 1056p highs?

• Ryanair fallen over -8% this week, as low as 966p today after a profits warning.
• Shares already bounced +2% off their worst today.
• Now trades 985p (at time of writing).
• Shares -9.3% from 2019 highs; +2% from 2019 lows; -7.8% year-to-date.
• Can the stock recover to yesterday’s levels?
• Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal

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Trading Ryanair – An Example

Let’s say you feel that the stock is a bargain and you think it could bounce back to recent highs of 1056p. You decide to buy exposure to £10,000 worth of Ryanair using a CFD, at the current price of 985p. To do this, you need £2,000.

Let’s assume Ryanair recovers back to 1056p Monday’s highs (+7.2%). Your profit would be £720, from your initial investment of £2000.

Conversely, let’s assume you open the above position, and place a stop-loss at 3% from the current price. Ryanair falls 3% and hits your stop-loss. Your loss would be £300.

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