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Showing posts from October, 2020

Investors are bracing for a Biden win!

 In the last month when the S&P was down 10%, there were a lot of talks about a potential Risk-off heading into the US Election, with a lot of uncertainties ahead, uncertainty what really😏!!! well, it turns out that the market is not that uncertain, in fact they are pricing in a Biden win, the polls are showing that the Democrats will lead the USA in the next 4 years, but wait for a minute can we really trust the polls and get burned just like back in 2016? that's fair but I think as traders we should always follow the market participants perception, if they believe that Joe Biden will win we better do that too, except if you're a contrarian which I'm not, and the more Biden's lead widens volatility will continue to decline,   But why the market is going up isn't that the Biden plan equal 4 trillion raise in taxes?  That's true, but we also have to look at the other end of the spectrum which is if there will be a Blue Wave Election (Democrats controlling th...