TUI
A trading opportunity for you?
Will TUI continue falling, or will it rise again back to 1211p this week’s highs?
- TUI shares down as low as 20% from this week’s highs; -15.8% today.
- Travel operator issued a warning for lower 2019 earnings.
- Now trades 997p (at time of writing).
- Shares -18.9% from 2019 highs; +3.4% from 2019 lows; -10.6% year-to-date.
- Can the stock recover to recent highs?
- Source: Dow Jones, Bloomberg, FT, Company News, AlphaTerminal
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Trading TUI – An Example
Let’s say you feel that the stock is a bargain and you think could bounce back towards recent high of 1211p. You decide to buy exposure to £10,000 worth of TUI using a CFD, at the current price of 997p. To do this, you need £2,000.
Let’s assume TUI recovers back to 1211p this week’s highs (+21.4%). Your profit would be £2140, 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. TUI 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.