Hello Share Bunnies: Have you ever wondered why a big Footsie share falls so fast and so far on a piece of bad news, like a profit warning? They certainly drop faster than we private armchair tycoons can sell out and avoid heavy damage.
Shares in National Grid (NG), the electricity company, have been in a long term uptrend ever since the company floated on the stock market in 2002. The only major correction occurred during the financial crisis of 2007-2008. The stock peaked 771p in January 2008, during the period from January 2008 to April 2009 the stock declined to 455p, in the process retracing about 70% of its advance.
