GM (General Motors) largest ipo in history & playing $F (FORD ) stock into Thursday

Looks like GM is not as bad a shape as this old cartoon shows – They’ve had some profitable quarters after bankruptcy and can now show a profit on lowered car sales, so if sales pick up again or the Volt concept takes off will help put GM back in the driver’s seat.

GM (General Motors) which is belovedly known as “Government Motors ” after the huge bailout they received from both US & Canadian governments. GM will be priced @ $33 per share on 478million shares and is set to be the largest IPO in history at just under $16 Billion. With over alottment options  it could reach $23Billion+ Looks like shareholders may not get all the money that they lent to GM but considering how past bailouts and government intervention in sectors like airlines have gone that this may not turn out too bad for the government, GM , shareholders or the public.

You may find this link helpful for the details on the GM ipo after you read this blog ( thanks x-chevy)

Had questions today about playing $F ( FORD ) stock into tomorrow with the GM ipo debut. Will probably sell $F into any runup tomorrow but would consider rebuying dips and continue to swing trade it as i’ve done already. Any major drop and i’d consider taking on a longer term position but still swing trade a separate batch.

I’ve played many IPO’s ( Initial Public Offerings ) in the past & saw a pattern that seems to have worked well for me

I’ll try to post a few charts of different IPO’s so you can see what I mean :

A few charts and patterns that I noticed on IPO’s i’ve traded in the past like $DGi $CCM $MJN $OPEN $TSLA ( you can see the pattern that I noticed .. they run up initially then sell off , consolidate & run higher ) so good odds & percentages that many IPO’s continue higher  from the initial months after the ipo date but it does take time. So if you are a longer term trader then you can keep a portion longer term if you researched the stock and have done due diligence on it.   Two other ipo’s that come to mind that were different were :$CYOU and $LIWA both of those initially continued higher but they also had pullbacks and both are currently higher than the initial IPO price day.  $AONE was an odd IPO since had run up initially higher but has been selling off & has had few bounces since but is the alternative energy industry (batteries ) that could be the reason why has not followed similar patterns to the others.  Hope the analysis on the charts help  ( click the individual thumbnail charts to make them bigger


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