Honda has reportedly recalled its Accord midsize cars due to battery issues. The total amount of recalled cars are 1.2 million which are believed to have problems in their battery sensor which can possibly lead to an electrical shortage or even fire combustion in further misfortunes. These findings have indeed prompted Honda to do an action of recalling its models globally.
This isn’t the first time however. The case will just add to the four cases of Honda in which have led to fire combustions in their engine compartments which is also accountable to battery sensors. These cases happened reportedly in places in where salt is used to take out snow or to simply just clear the roads during the season of winter.
In further details, these sensors or the negative terminal of the battery aren’t correctly sealed from potential moistness in which is very possible in cold places. Salt in the road can of course slip through it and will cause potential corrosion which can lead to fire or in some cases, just electrical shortages.
Honda is one of the biggest automobile companies in the entire world which not only focuses on cars but also motorbikes. Recalling has been an obvious activity of the car company for years however. It has been accountable to several issues such as the defective Takata Airbags in which can rather explode and gather metallic shards in the process when in a car accident.
More so, Honda has been recalling for safety purposes which has affected the company interms of sales and consumer confidence for the automobile brand.
Honda has been doing not so well in the index under the automotive industry for three months now.
Also, Honda’s shares degenerated 3.4% generally with the industry’s increase of 5.1% correspondingly.
In the most recent one, Honda traded upwards in its recent sessions imposing slow but somewhat effective results so far. It last traded at 27.46 maintaining its bulls and not losing a hefty amount of it.
However, its RSI level is inching downwards. It last traded at 46.81which is very much a middle of the road performance as it is far from being considered as overbought or oversold. With that being said, it is still neutral in terms of performance.
To add, the Coppock curve is showing some confidence as it presents an upward direction for its movement which could mean that the stock can possibly continue its bullish performances in its charts. Despite the move, it is still on a negative zone so there will be no strong recommendation in terms of position as one must rather hold than make one. Specifically, it is at -1.87. It is close to the positive region. And again, a hold is much rather recommended than any position.
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