What You Should Expect After the 2020 Election

by Options Sensei

I try to avoid making these kinds of predictions because making predictions is a losing proposition.

Not to mention I have been doing this long enough to know that the market can do almost anything…

And often will!.

The only way to play the “prediction game” is to make a few predictions and have limited success, or you make hundreds of predictions and brag about the ones that come to pass.  Either way, I am not a fan.

That said, I am going to make a prediction about the post-election market.

First, whoever wins we are going to see the market indexes continue their upward movement through 2021…or at least well into 2021.

I doubt it will be as drastic an upward trend as we have seen since the market bounced back after the March crash…

But it will keep going up.

That’s because we will have more stimulus and continued artificially low rates.

The problem with stimulus and artificially low rates is that it makes the market very volatile…even if the trend is higher.

We’ve discussed the at length over the last few months, so I am not going to beat a dead horse here.

What I will say is that volatility represents extreme opportunity and extreme risks for traders like us.

Opportunity because we have more chances to make more trades and more profit.

Risk because any position can make an unexpected move, and if you are naked in that position you could have a massive loss.

Remember the story of my first trade.  I held a naked position overnight that I knew was a “sure thing.”

The sure thing cost me $50,000!  Money I could ill afford to lose in my 20’s.

That’s why I work so hard to make sure that all of our positions in Options360 have a very limited and defined downside.

Big upside opportunity and limited small downside risk.

That’s how you traded successfully in any market…

But most especially in this market.

To Your Success,

Steve

PS. Make sure to grab your trial membership to Options360.  It’ll be the best money you’ve ever spent!

The post What You Should Expect After the 2020 Election appeared first on Option Sensei.