Thursday, May 6, 2010

Bookkeeping: Stopped Out of 2/3rds of Remaining HDFC Bank (HDB)

Despite a wild valuation that seems excessive, I held a material position in HDFC Bank (HDB) as the "no one loses... valuation no longer matters" stock market continued ever upward. I did take half of the position off after a big run 1 month ago in the $145s, and then sat with the rest. Up to about a week ago that sale price was good, as the stock just went sideways. The stock began another run post earnings, but topped out mid $150s. Going into this week I had a stop loss order ready (in the $137s) below the 50 day moving average, and the selloff of the past hour triggered it. Hence 2/3rds of what I had left just was flushed - locking in about a 14% gain.

This is a position I'd like to remount but at a lower price (and better valuation). Something near the 200 day moving average would be a good place to begin rebuilding if and when. For now we only have a 0.33%ish exposure remaining.

Long HDFC Bank in fund; no personal position


Disclaimer: The opinions listed on this blog are for educational purpose only. You should do your own research before making any decisions.
This blog, its affiliates, partners or authors are not responsible or liable for any misstatements and/or losses you might sustain from the content provided.

Copyright @2012