WKHS Stock News: Workhorse Group Inc seems like a win-win on any election result

Investors in NASDAQ: WKHS are bracing for a third day of significant losses.
Workhorse Group Inc still has a promising future if Biden wins and injects money into the post office.
President Trump's picture with a Lordstown Motors truck is also a positive.

Yohay Elam FXStreet

A third day of losses is due for NASDAQ: WKHS – Thursday's pre-market trading is showing another slide of 4% to $24.21. That would follow a significant sell-off on Wednesday, which saw a plunge of 6.72% or $1.82 to a closing price of $25.28.

The electric vehicle maker is now valued at around $2.66 billion, far above the lows, but below the peak.

Technical traders may find solace in the fact that WKHS is still trading above the $22.13 level, which was a low point in late September. Another cushion awaits at $17.67, last month's low. Resistance is at the weekly closing peak of $28.13 recorded on Monday.

Are shares set to extend their slide or is it a buying opportunity? The firm is in the right place and at the right time – making EVs which are in growing demand and also owning a stake in Lordstown Motors, which makes delivery vans – much needed amid the coronavirus pandemic.

President Donald Trump sent stocks surging early in the week after he was pictured viewing such a Lordstown truck. And now, politics may prove positive for the company. Here is why.

WKHS stock news

President Trump is keen to shore up his critical supporters – working-class Whites in rust-belt states. Making America Great Again means supporting firms such as Workhorse. His photo op is telling.

What about former Vice President Joe Biden? The Scranton, Pennsylvania-based politician also boasts his working-class and could also champion such companies that mix American manufacturing and renewable energy which his Democratic Party supports.

More importantly, the party wants to pour money in the US Postal Service and previously passed a bill injecting $25 billion into the government service. The USPS is set to renew its fleet of delivery vehicles and may lean toward greener energy. A clean sweep for Democrats could result in funds flowing to the Loveland, Ohio-based company.

All in all, there are reasons to like Workhorse Group Inc.

See 2020 Elections: How stocks, gold, dollar could move in four scenarios, nightmare one included

Premium

You have reached your limit of 3 free articles for this month.

Start your subscription and get access to all our original articles.

Subscribe to Premium Sign In

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

AUD/USD falls to near 0.7100 after slipping below 50-day EMA

AUD/USD depreciates after registering minor gains in the previous day, trading around 0.7120 during the Asian hours. The technical analysis of the daily chart shows the pair consolidating sideways within a rectangle pattern, as neither bulls nor bears gain control. The AUD/USD pair is holding a slight bearish tone however as it sits beneath both the nine-day and 50-day EMAs.

160.00: USD/JPY back near intervention territory after upbeat US jobs report

US Nonfarm Payrolls beat expectations by a wide margin in May, with 172K jobs added. The US Dollar rebounds after the release, helping USD/JPY recover from its intraday lows. Warnings from Japanese authorities continue to limit upside potential near the 160.00 threshold.

Gold targets $4,300 amid stronger Dollar

Gold faces increasing selling interest and navigates the area of three-month lows near the $4,300 mark per troy ounce on Friday. The precious metal’s decline comes as traders assess the stronger-than-expected NFP, while the bid bias in the Greenback and higher US Treasury yields also collaborate with the retracement.

Cardano hits five-year low even as Hoskinson clarifies "break" isn't an exit

Cardano (ADA) price is down 10% at press time on Friday, extending losses over 30% so far this week amid Charles Hoskinson's clarification that "break" isn't an exit.

Week ahead – Fed countdown begins amid US inflation data and geopolitical risks

Fed Chair Warsh’s first meeting approaches as key US inflation data could reshape expectations. Oil prices remain elevated as US-Iran talks continue; tariffs also return to the spotlight. ECB is expected to hike; will it be a one-off move or is July live?

The US economy defies the rules: 100 days into the Oil shock and the recession signal is still missing

More than three months after the start of the Iran war and the resulting disruption to global energy markets, the US economy continues to display remarkable resilience. The conflict has triggered a sharp rise in Oil prices, reignited inflationary pressures and fueled widespread concerns about a potential economic slowdown.