what trans to use for road race?

I personally, would prefer a manual transmission and a small block.

X2 on the manual and a small block (built of course) because it will make the car lighter and easier to steer. Also talk to autoxcuda because he road races his care. You'll also want some big tires on the car, I suggest a mini tub (making the wheel wells flush with the frame rails) and a 3" inboard spring relocation. I've done a road race in an auto and it is a bit different youll find yourself manually shifting the car between 2-3 and depending on the track you'll push it into overdrive.