Telecom Argentina's 15min chart triggers Bollinger Bands Narrowing, Bearish Marubozu formation.

Based on Telecom Argentina's 15-minute chart, the Bollinger Bands have narrowed, and a bearish Marubozu pattern has emerged as of June 16, 2025 at 11:00 AM. This suggests that the magnitude of stock price fluctuations is decreasing, indicating that sellers are gaining control of the market, and it is likely that bearish momentum will continue.

Spanish telecom giant Telefonica has accelerated its plans to reduce exposure in Spanish-speaking Latin America, focusing instead on four core markets under new CEO Marc Murtra. Following recent ownership and management shake-ups, Telefonica has withdrawn from several countries in southern America, building on a process that began with the sale of some Central America units in 2019. The company's market focus will now be on Brazil, Britain, Germany, and Spain, with Murtra planning to introduce a new strategy in the second half of this year [1].

Telefonica's Latin America operations have seen significant developments. In Mexico, the company hired investment bank JP Morgan to sell its Mexican business. In Argentina, Telefonica's unit was sold to Telecom Argentina for $1.245 billion, although the acquisition was suspended in March due to anti-trust concerns [1]. In Peru, Telefonica agreed to sell its unit to Integra Tec International for approximately 900,000 euros ($1.04 million) in April, despite the Peruvian unit filing for bankruptcy protection in February [1]. These sales resulted in a capital loss of 1.7 billion euros in the first quarter [1].

In Venezuela, Telefonica has not announced any plans for selling the unit, but it has committed to investing $500 million in the country over two years to expand 4G and 5G services. In Colombia, Telefonica agreed to sell its majority stake in the Colombian unit to Millicom International for $400 million. Similar deals were struck in Uruguay, Ecuador, and Chile, with Millicom acquiring Telefonica's units in these countries for $440 million, $380 million, and an unspecified amount, respectively [1].

Telefonica's strategy to focus on Europe and Brazil is evident in its recent acquisitions and sales. The company has sold several units in Central America and the Caribbean, including El Salvador, Panama, Costa Rica, and Nicaragua, to Millicom and other buyers. In Brazil, Telefonica Brasil, a key subsidiary, has carried out several small acquisitions, such as cloud services firms IPNET and IPNET USA, for up to 230 million reais ($41.49 million) last July [1].

The company's withdrawal from Latin America is part of its broader strategy to optimize its portfolio and generate sustainable value. "Our priority will be Europe, Europe, and Europe; we will maintain our leadership position in Brazil as a core market, and we will focus on what we know how to do as an industrial operator," Murtra said in April [3].

References:
[1] Reuters. (2025). Factbox: Spain's Telefonica reshapes Latin America strategy after leadership change. Retrieved from https://finance.yahoo.com/news/factbox-spains-telefonica-reshapes-latin-112753898.html
[2] Reuters. (2025). Spain's Telefonica reshapes Latin America strategy after leadership change. Retrieved from https://www.tradingview.com/news/reuters.com,2025:newsml_L6N3SJ09B:0-spain-s-telefonica-reshapes-latin-america-strategy-after-leadership-change/
[3] Datacenterdynamics. (2025). Telefónica to sell Ecuadorian unit to Millicom for $380m. Retrieved from https://www.datacenterdynamics.com/en/news/telef%C3%B3nica-to-sell-ecuadorian-unit-to-millicom-for-380m/