Vodafone share prices have risen by nine per cent since the current bullish move began on March 9, 2022. Today’s trading session, however, has wiped out yesterday’s gains. This is after the markets opened far below yesterday’s closing price and proceeded to lose more than three per cent.
A new report this week shows that most Vodafone Group Public Limited (LON: VOD) shareholders were institutional. They accounted for more than 80 per cent of the company’s ownership. This type of ownership, however, is very crucial for firms like Vodafone, which invest heavily in research.
They give the company the ability to conduct high-risk projects by providing a vast amount of money. in return, when the share prices of Vodafone rise in the markets, it is not retail traders who are ripping the benefits. Instead, it is these huge institutions with vast amounts of resources. According to the research, they found that the general public owned only 18 per cent of the shares. Employees of the company-owned one per cent of the shares, whereas the government-owned 0.08 per cent.
Vodafone Share Price Prediction
There is a high likelihood that today’s drop in price is the beginning of a continued bearish move in Vodafone’s share price. Looking at the daily chart below, we can see the prices are trading at the 50 per cent retracement level of the Fibonacci retracement. We can also see that the prices have tried breaking out of your retracement level twice, failing both times.
Therefore, my Vodafone share price prediction is the prices are still on a long-term bearish move. The current bullish move is a price correction and retracement. Therefore, I expect the prices to drop to the GBp 116.10 level in the coming days. There is also a high likelihood that the drop in price of Vodafone will persist past the support level. This means you should expect the shares to trade even far below the support level.