[MalcolmSm1th]

Potential Stage 2 continuations - OCDO.L, BGFD.L, HLCL.L, XPP.L, CAMB.L, CTO.L

In the book he mentions how fundamentals don't come into it when one 'reads the tape' and that companies with lousy fundamentals can be great technical stocks.

OCADO (OCDO.L) is one such example. It's handed out five years of audited results and every single one has made a loss. The EPS is utterly dire and plummeted to new depths this year and basically in fundamental terms it's an utter and total basketcase. But it's a different story according to the book because one could have got in at arond 90s in the spring of last year, perhaps got in again at 150 in the summer of last year and now, six months later, with the company doing dreadfully one could be selling the shares at 500 - over five times the price paid this time last year.

Utterly amazing and, yes, I will be the first to admit that I have had two very unsuccessful attempts at laying this company by going short at around 360.

Anyway, Ocado just goes to show that one doesn't need the fundamentals to follow the tape.