ABF In Focus Ahead Of Trading Update
Fiona Cincotta July 1, 2020 10:13 PM
Thursday 2nd July Associated British Foods is set to update the market over the impact of the lockdown and how initial trading is faring after stores reopened
Primark owner ABF is expected to update the market today. The update comes just over 2 weeks after British government eased lockdown restrictions and stores reopened, albeit with strict social distancing measures in place. The 2-meter rule is also set to be reduced further this weekend, meaning that stores will be allowed more shoppers to enter at anyone time which is good news for business.
Primark is trding down -20% year to date. It trades above its 50 day sma, a support which has held since the beginning of June. The stock continues to trade below its 100 day sma a level which offers strong resistance at around 2000p. This is a level which the stock has failed to trade over since 10th June.
A break above 2000p could open the door to resistance at 2140p (June high).
On the flip side, a breakthrough the 50 sma around 1865p could open the door to 1840p (June low) prior to 1740p (low 26th May)
From time to time, GAIN Capital Australia Pty Ltd (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.
As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.