With U.S. presidential elections on the horizon, there are more variables to consider within the stock market…
2020 has been a very volatile year as it is – with lots of factors and catalysts to digest in order to get an edge on markets… COVID-19, trade tensions and now the future of politics in the United States.
Historically, the months preceding an election are fairly quiet as hedge funds and institutional traders hold their cards close to their chest until they have an idea of what to expect.
In a simplified form, here is what to expect depending on who wins the U.S. presidency:
If Trump retains: Large-cap tech stocks to rise. Russell 2000 Index (INDEXRUSSELL:RUT) stocks and companies with relationships with China to cool.
If U.S. is Ridin’ with Biden: Cannabis stocks, renewable energy stocks, and Russell 2000 Index stocks to rise.
Watch the full interview to see the stocks and ETFs we are trading in the run up to the election.