ICAP Buy - 305p

Hi All,

I have been a bit quiet this year on the trading update side, but I could not fail to miss out on an opportunity to get in on ICAP. I love this firm and if you read my blog i have tipped and failed to get in on them several times before.

They have gone from strength to strength and always benefit from market panic as there is subsequently a trading volume spike. As well as acting primarily as a broker, they are massively ramping up in the Post Trade Services space which inevitably means a short term hit to profits but in my mind this is great news as I get the stock cheap and get to buy into a massively growing area... one which I know a fair bit about and am confident will benefit ICAP hugely in the long term.

I'm in at 305p on the spreads and targetting 430p - this could be sometime coming but I am very much confident of a recovery next week given the (over-reacted) 20% fall today on downgraded forecasts for the company in 2010.

ICAP is here to stay and I will eat my hat if we they don't touch 400p again in the coming few weeks. With a safe 20% upside here don't miss the boat...!