Gavekal Capital: Sony Misses Earnings as Downtrend Reasserts Itself

Thursday, October 31, 2013

Sony Misses Earnings as Downtrend Reasserts Itself

Sony reported lower than expected sales and EPS estimates and lowered its full year profit guidance yesterday, serving as a stark reminder that Abenomincs is hardly a panacea for Japan's struggling consumer electronics industry.

Sony only finished down 1.8% today, but our relative strength point & figure charts show the stock being turned lower by historic resistance after a nice relief rally so far in 2013. Now that it has broken its intermediate uptrend trendline, there isn't much support to stop a larger correction.

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