Buying HBOS tomorrow (as long as dont see crash in morning / after crash), s/l at 40.

Discussion in 'Stocks' started by spanish89, Oct 7, 2008.

  1. Aloha, well the title basically explains it. :)

    My dad who doesnt trade has seen the news that the government are bailing out banks, and so he asked me Monday UK time to buy him 500shares of HBOS for tuesday.

    I said wait, and we crashed 40%!! :D

    Im now waiting for the morning cos hes given me £500 and wants that amount worth of hbos shares.

    My mum who knows even less about trading has just decided to give her £300 to me instead for me to buy hbos trhough my sb firm for her instead.. :)

    When we open tomorrow the news from today, that i tried to explain to him has been priced in and is what crashed hbos, will now have been overused, and so i think we will see bargain hunter buyers coming in tomorrow.

    I trade crude oil as stocks are just way to slow and dull for my liking, but im smart enough to see an easy opportunity with very little downside risk left...

    So im planning on using my mum's £300 + about £150 of my own cash to buy hbos tomorrow morning at as low as it falls (low 90s), at £8 per point / stoploss at about 50p.

    N then gna just leave this for months if i need to, or id it gets hit at 50 ive only lost £150. lol

    Im just curious what evryone else on here thinks about buying halifax this low with a longterm view???

    I did this with fannie mae, but bought that at £5 at 43, stoploss of 10pips so £50, and took that for just under 150pips profit!! :p

    So hoping to do the double with this crappy stock. :D