Day Traders Best Friends: Ford and GM?

Posted by: David Kiley on October 13, 2008

Day traders must be having fun with General Motors and Ford.

Last Friday I was talking to an auto industry source who is very close to management at both Ford and GM, and he told me that he bought a bunch of GM and Ford shares on Friday when Ford was trading below $2.00 a share and GM was trading below $5.00.

“What is the downside risk at this point?” asked my source. “All it will take is for the market to have a big day, and you gotta make money.”

How true. Today, GM closed up 33%, and Ford was up over 20%. Not6 a bad one-day return for those who had the guts to take the plunge. The question is…..how long does he hold on to the shares?

Reader Comments

john

October 13, 2008 8:47 PM

Is it still a buy tommorow when the market opens and who is buying who Chrysler or G.M.

thks

john smith

November 2, 2008 2:39 AM

i would not risk it my self

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