2014-04-10 15:41:42 - • Private investors were bearish on Google, Facebook, Apple, Nasdaq
• Market correction not indicator of long-term decline in tech stocks
Traders using licensed binary options platform, Banc De Binary, profited from the unexpected fall of tech stocks on Friday 4th April 2014.
More put (down) positions than call (up) positions were opened by traders predicting the direction of major stocks including Google, Facebook, and Apple, as well as the tech-heavy Nasdaq Index. Most noticeably, 77% trades on Facebook stock were put options against 23% call options, while 64% trades on Google were put options against 36% call options.
Says Banc De Binary President, Oren Laurent, “Interestingly, almost all of these bearish trades on our platform were opened with short-term expiry times, including 15 minutes, 1 hour and end-of-day expiries. Binary trading allows you to set your chosen expiry time in advance,
and traders really took advantage of this feature on Friday to capitalize on the short-term market trend without committing themselves to long-term positions and unknown risks
The drop in tech stocks took the market by surprise on Friday as there was no clear fundamental event or cause, and relatively positive U.S. employment data was released on the day.
Suggests Oren Laurent, “Perhaps the market was simply waiting to correct itself. It is possible that the high levels of investments in these stocks in 2013 led to a point of overheating, and investors started to question the precise value of their assets. The fact that the markets needed a small correction and calming down does not automatically mean that tech stocks are doomed in the coming months. The tech world is expanding and could still provide lucrative investment opportunities
About Banc De Binary: Banc De Binary was founded in 2009 in the aftermath of the financial crisis, and has quickly become the global leader in binary options trading. It has more than 200,000 client accounts worldwide and offers trading on 200 stocks, currencies, commodities and indices.
Regulation: Banc De Binary is a Financial Services Company authorized and regulated by the Cyprus Securities Exchange Commission (CySEC) under license no. 188/13 and is registered with such global regulatory authorities as the FSA, FSB and other EEA financial licensing bodies.
Press Contact: Sophie May, Head of Investor Relations at Banc De Binary, firstname.lastname@example.org