APM reported a decent 2Q2006

Despite the slowdown in the auto sector, APM reported a decent result for 2Q2006. Net profit increased 7.6% q-o-q to RM16.3 mil on the back of a 2.0%-increase in its turnover of RM234.5 mil. But, the bottomline & topline were lower than the corresponding quarter in 2005 by 6.2% & 1.3% , respectively. See the Table below for the result for 2Q2006.









Recently, APM has broken below its strong horizontal support of RM2.20 (see Chart 1 below). It has dropped to a low of RM1.92 before recovering to stay above the RM2.00 mark. A bottoming process has begun & an ascending triangle can be seen. A break above RM2.02/2.03 could lead to further recovery in the share price in the short-term (see Chart 2 below).

















Chart 1: APM's monthly chart as at August 17

















Chart 2: APM's daily chart as at August 17