Regency View:

Frontier Developments (FDEV): Close at 2,401p

This week’s positive news regarding the Pfizer Covid-19 vaccine has seen the markets start to partially unwind positions in ‘lockdown stocks’.

Frontier Development has almost become AIM’s poster boy for stocks that will flourish during lockdown and therefore it’s not a huge suprise to see the shares top out this week.

In technical terms, recent price action has formed a ‘fakeout triple top’ with the confirmation of a break of trendline. With this in mind, we are going to take our profit and wait on the sidelines for prices to retrace back towards a value zone before potentially buying in again.

Gross P/L = +87.5%

FDEV Daily Candle Chart