can ad title contain search query?

[webdudek]

I would like my ad title to be 'buy red car' in case a user is searching for 'red car' and 'buy blue car' in case 'blue car' is searched.

Is it possible to create an ad that will contain the search query?

[eWhisper]

Yes. The feature is called dynamic insertion:
[webmasterworld.com...]