LFIN - went up 8.5% Since recommended....Came down 2.54% since then

On the 23rd of September 2015, I made a buy call on LB Finance. With 2 targets of 140.00, and 150.00 respectively. My expected period was 12 months since the recommended date.

We have not come to the target levels just yet. However the counter moved up to a high of 128.00, 18 days after the date recommended. That is a ROI of 8.5% in just 18 days. During this period the stock fell to 115.00, 4 days after the recommended date, on the 30th of September 2015. It was a loss of 2.54%. But my trade idea was to Average down, as the Company was poised to make more than 20.00 of profits per share, as at 31st March 2016. They are a good dividend payers, and I expect them to give out 8 to 10 rupees on Divs too.

Presently the stock is retracing, due to lackluster trading, and also the uncertain impact the new developments stemmed from the 2016 budget proposals.

I personally believe LB Finance to make the maximum benefits out of the opportunities given to them from the said budget. As such the trending down of the price is a healthy opportunity to grab the stock based on Averaging Down method.

It will be interesting to see whether they still could make 20.00 profits per share, which should be closely monitored.  But with increased momentum in the overall market could lead the price to move to my targets of 140.00 and 150.00.

I too expect the market to resume increased activity in Jan'16, like some do. Therefore buying into LFIN for a short term target of 125 to 128 will be a decent trading shot. But you must buy between 115 and 118, during the present down trend. If you get below that, it will still be ideal.