Logically, BP share price should fall, given the amount of uncertainty surrounding the company's potential liability, but the market isn't always immediately logical.
How long do you have to wait? There is also the possibility that BP price could churn here at this level for some time, within a tight range.
The British government seems prepared to defend the value of their their biggest honeypot. Dozens of big UK pension funds are deeply invested in BP. Will they (or can they) all sell, or will they instead put pressure on their government to take actions to defend the price of BP? We now assume BP dividend is history...yet the PPS held up at $34 yesterday.
I am expecting a PPS breakdown on Monday, but at this point there is so much manipulation going on, I will wait for confirmation before acting.
Next week I will be watching to see if
1) BP can sustain levels over $34 for any length of time,
2) $32.60 support is broken.
Depending on price action, I will decide on whether to add to a put or daytrade call position.