How bad will the stock market get post election? A THREAD $SPY $VIX
The following is a list of things which are extremely likely to happen
1. Joe Biden wins the election
What that means?
A. Huge capital gains tax increase will cause huge selling before end of yr
B. no more president with a priority of pumping the markets
C. Massive increase in regulation cutting profits of many large caps
D. Likely lockdown orders with the oncoming second wave.
2. Trump calls election a fraud and refuses peaceful transfer of power
A. Creates intense mkt
Uncertainty .... uncertainty what the mkt hates the most
B.There will be militia action "patriots" who are on standby they already had advance plots at kidnapping MI and VA governors. Kidnapping of top Dems will be attempted
C. Possible pangs of a civil war when. That starts
We will find out very soon if he have real enemies abroad that will be they're moment to strike. It's shortsighted to think they're not planning it.
3. Second wave
The numbers in many states are starting to increase and most epidemiologist say a second wave is coming under
And the dirty little secret about covid is your immunity won't last for more than 6 months thousands of ppl have lost their anti bodies from the first wave ( I myself know if over 65 people in my small community who no longer have anti bodies) and the documented cases of ppl
Getting covid again and In some cases more severe are already building up. Large vaccine trials are being cancelled and even if everything goes perfect these vaccines won't be available till April the earliest it will be a damn long winter folks. More shutdowns will add to intenc
Civil unrest which will destroy the mkts.
4. Until now the mkt has been propped up by unlimited QE which according to most economists will end up creating great risk in the long run powell knows this he's said it many times but he flipped from Trump pressure. With trump out
That alone could rid of the fed mkt manipulation also fed has been signaling even in a trump era that it can't go on forever.
The mkt is at all time highs if even part of one of these things would happen the mkt. Would go lower but it's very likely they all will happen $SPY $SPXS
Most standard retail investors don't understand that high mkt volatility can be very profitable there are many many easy ways to hedge or even become a millionaire on market turmoil
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