UK100 weekly uptrend opportunity based On 1.00 Lot Calculation:
- DESCRIPTION: The UK100 is a capitalization weighted index of the 100 most highly capitalized companies traded on the London Stock Exchange.
- RELATIVE VALUE: The UK100 trades at a lower multiple than the USA500 index in the United States. The Price to Earnings ratio of the UK100 is just under 18 compared to nearly 26 for the USA500. The UK100 underperformed the USA500 the past year rising only 9.5% compared to 25.4% for the USA500.
- UK100 COMPONENTS: The top 10 stocks in the UK100 represent roughly one third of its value. Seven of the top 10 stocks in the UK100 are in the energy, financial, commodity, or pharmaceutical sectors. The energy, financial, and commodity sectors could be expected to perform well in 2022 given the rising interest rate environment and global demand for energy and other commodities. The pharmaceutical industry is expected to remain strong in 2022 due to continued demand for vaccines and other therapeutics. Two of the other three stocks in the top 10 are tobacco and alcohol related.
- BREXIT FINALLY DONE: With all the adjustments, fears, and risks of Brexit in the rearview mirror, UK companies are now able to invest in their businesses without the recent uncertainties that accompanied the country’s separation from the European Union.
UK100, January 6, 2022
Current Price: 7,400.00
UK100 |
Weekly |
Trend direction |
|
8,300.00 |
|
8,000.00 |
|
7,700.00 |
|
7,150.00 |
|
6,900.00 |
|
6,650.00 |
Example of calculation base on weekly trend direction for 1.00 Lot*
UK100 |
||||||
Pivot Points |
||||||
Profit or loss in $ |
12,175.02 |
8,116.68 |
4,058.34 |
-3,381.95 |
-6,763.90 |
-10,145.85 |
Profit or loss in €** |
10,762.73 |
7,175.16 |
3,587.58 |
-2,989.65 |
-5,979.30 |
-8,968.95 |
Profit or loss in £** |
9,000.00 |
6,000.00 |
3,000.00 |
-2,500.00 |
-5,000.00 |
-7,500.00 |
Profit or loss in C$** |
15,543.85 |
10,362.57 |
5,181.28 |
-4,317.74 |
-8,635.47 |
-12,953.21 |
* 1.00 lot is equivalent of 10 units
** Calculations for exchange rate used as of 11:21 (GMT) 6/01/2022
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Client Manager regarding their use.
*** You may wish to consider closing your position in profit, even if it is lower than suggested one
**** Trailing stop technique can protect the profit – Ask your Client Manager for more details