Buy right now in Anticipation of Vote?

Discussion in 'Trading' started by DataCruncher, Oct 1, 2008.

  1. Anybody buying stocks right now in anticipation of the Senate voting yes on the bill sometime between 7 and 8pm?

    What stocks do you think might pop up the most?

    how about some of the regional banks like NCC or SOV?
  2. I would not buy them considering NCC went up over 60% today and SOV went up about 12%. IMO, today's rise was the due to the anticipation play... so you would come late to the party and the probabilities will be lower. I also expect people to take profits if the vote is passed anyway, so you can't expect a large rise. In terms of risk/reward, it would be a shitty trade.

    Keep in mind that if the vote fails, they will likely fall hard. Most people thought the initial vote would pass, so you need to be careful about tonight.
  3. good points. there still may be a kneejerk pop in reaction to the vote though
  4. NCC is up some 5% now in aftermarket trading and is at 3.10. My guess is that people will take profits on the open.

    If NCC falls tomorrow (down trending day) I would buy it tomorrow sometime near the close (or low support level) in anticipation of the House's vote on Friday. If it continues to go up tomorrow or stay flat, you probably should just pass on the opportunity entirely.

    Trade with probabilities and don't chase stocks!
  5. Watching the Asian markets right now, reaction to the Senate vote was nil. Granted it's not the U.S. but I think Senate passage was pretty much baked in. The House is the wild card.
  6. ammo


    lotta guys tried buying monday morning