What does iCar Asia Ltd do?
This is a follow-up posting to one I made on 25 June, on iCar Asia Ltd [ASX:ICQ]. They own a portfolio of automotive websites in Malaysia, Indonesia and Thailand. Their strategy is focused on providing online advertising services and solutions to the automotive and related industries, across Southeast Asia.
Their trading update released to the market on 17 June was upbeat. CEO Damon Rielly announced that the business continues to demonstrate rapid growth and is on track to deliver all-time record results — beginning with expected strong growth for the second half of 2015.
That’s interesting, but what is the chart telling you now?
What is the chart telling you?
I personally find it helpful to bring up a chart. Here’s the updated weekly chart of ICQ:
The share price was further down today. Despite upbeat forecasts from the CEO, the chart does not give one the same cause for optimism.
What now for ICQ shares?
In my previous posting I stated, ‘a decisive break of the low from late last year will be decidedly bearish.’ If that should happen, it would then suggest further bad news for this company. Let’s wait and see.
That has now occurred. The company has since undergone a capital raising to invest in new technology and marketing etcetera, but the chart is suggesting this company, despite the upbeat forecasts is struggling to break even.
Don’t rely on CEOs to give you the information you need to know, To get the truth go to the chart. The chart will tell you the truth if you can read it. Go here to find out more.
Research Analyst, Cycles, Trends and Forecasts