IFCAMSC took a tumble in the past 3-4 weeks as investors were spooked by the sudden resignation of its new CFO- just 5 months into his new job. This unfortunate development may not be the main reason for the sell-down in the stock. Whenever a stock is priced richly - and to perfection, in the opinion of some - then any doubt could cause a sudden reprisal of a previously held opinion. Such is the reason why the over-reaction to the CFO's resignation.
Chartwise, I see weakness in this stock with bearish reading in the MACD & Slow Stochastic indicators. The share price is now struggling to hang onto the 21-week SMA line at RM1.30. If this support fails, its uptrend would be over. It could then transition to a sideways trend or even a downtrend.
Based on technical consideration, I think it may be a good idea to REDUCE one's position in this stock.
Chart: IFCAMSC's weekly chart as at Jun 9, 2015_11.30am (Source: Share Investors)
Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, IFCAMSC.
IFCAMSC (0023) - IFCAMSC: A Bird In Hand...
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