Binary options of the British communications giant Vodafone Group Plc. (ADR) (NASDAQ:VOD) are continuing to slide down after last week’s report for the Q1 results of fiscal year 2013. The company announced revenue of $13.83 billion, meaning that the number has declined by 7.7% on a year-over-year basis.
The latest scandal involving the company, kept it in traders’ mouths. That’s why such poor performance was not left unpunished by the binary traders. Some of them grabbed a neat profit, and might still be trading the asset.
On the last session the deteriorating price of VOD’s binary options hit the SMA 200 at $27.49 and got back above the 50% line of the Fibonacci fan. As the binary traders might have noticed yesterday Vodafone was following the same scenario as on the previous three sessions:
- Opening way below the last day’s price
- Hitting a support and bumping back
- Rising to a strong resistance line and closing there
The white, yellow, and both blue lines represent potential support and resistance zone for binary VOD.
All the yellow dotted lines on the chart are Fibonacci retracements of the move between $27.95 and $29.07.
The white lines represent a Fibonacci fan, constructed between this year’s lowest point $26.00 from the middle of March and the highest point for 2012 at $29.07 reached last week.
The blue lines are Simple Moving Averages for 50 and 200 periods.
This time the binary analysts expect a change of pattern, so the session will most likely open between the 100% and 127.2% retracement lines.
The information in this analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.