Telefónica is looking for supports to continue its rebound
The time has come to take a break from the road by Telefonica, which had racked up 14% gains last month.
The company looks for support near the €3.50 support, levels where it is most likely that we will eventually see a return to buying. If it fails to hold at these prices, it is likely to test the support at 3.40 euros.
Despite these falls, we believe that could continue the recovery that began at the end of October. If nothing happens, it is very likely that we could end up seeing an extension of the gains up to the level of 3.90 euros, the price where the 200 session average is located.