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From Campaign Promises to Policy Realities: Get Ready for Some Volatility

by | Nov 4, 2024

As we head into Election Day, it’s crucial to prepare for what could be a volatile period. 

The polls have shifted, and that’s given investors a bit more clarity — but with that clarity comes a new layer of potential swings as we inch toward the finish line. While we’ve seen some adjusting of investments as one candidate appears more favored, the real rebalancing will likely hit once results are confirmed.

Markets hate uncertainty, and election outcomes are no exception. 

The moment results become official, expect another wave of adjustments — and this one could be more dramatic than what we’ve seen so far.

For those who’ve been positioning based on a particular candidate, the real test comes post-election. If their choice wins, we may see some initial spikes as positions strengthen. 

But don’t expect all that movement to last — reality often hits once campaign promises turn into real-world policies. These policies don’t just happen…

They face hurdles in Congress, regardless of who wins. So even sectors that might be favoring one candidate’s policies could see a pullback as the focus shifts from promises to practicality.

Stocks that have been in play due to election sentiment may not be able to sustain their momentum once the dust settles. 

Initially, you might see some rotation within sectors or even a short burst in favored stocks, but we often see these pop-and-drop scenarios right after election periods. Investors might find themselves looking at a bit of a pullback across the board as we head into year-end as the next Congress settles in.

With volatility likely to ramp up, the market isn’t just going to shake out all at once. 

We could see a lot of back-and-forth trading and reallocation across sectors — especially if specific policies are anticipated to impact industries unevenly. 

The key is staying nimble and being ready for what could be a whiplash market post-election.

Remember, elections bring an initial spike in volatility, but the real story often unfolds once policies are on the table. And for investors, that means keeping an eye on opportunities while staying prepared for sudden shifts — and that’s going to be especially critical as we move out of election season and closer to the end of the year.

Kane Shieh
Kane Shieh Trading

Follow along and join the conversation for real-time analysis, trade ideas, market insights and more!

*This is for informational and educational purposes only. There is inherent risk in trading, so trade at your own risk. 

P.S. Election Night Trades You MUST SEE! 

Where is this election heading?

Public betting markets say Trump has around a 65% chance… Public polling shows he has around a 53% chance…

But it’s the insiders — the dark money — that may know the real story.

Billions of dollars are already quietly changing hands… including some stunning bets from insiders who may know secret information about the election. 

Why does this matter to insiders?

Because, no matter who wins, just days from now, a new regime will be preparing to take power in Washington DC — and they will control an estimated $24 trillion government budget.

Where those trillions go could cause certain investments to soar… and others to crater.

This election is a HUGE deal for the markets… 

Which is why I’m hosting an URGENT election event at 1 p.m. ET on Tuesday, Nov. 4, to reveal the insider moves we’re tracking, and three trades you can make to get ahead of them.

Don’t delay. If you see this after election night, it could be too late! 

So Save Your Seat Here!

 

WRITTEN BY<br>Kane Shieh

WRITTEN BY
Kane Shieh

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