DailyPlay Update – Election Volatility – Nov 3rd, 2020
S&P 500 Market Outlook: Bullish
Market Overview: Despite uncertainty and choppy trading, markets have held major support levels on SPY $323 and QQQ $260. With the election tomorrow, Fed meeting mid week and payrolls on Friday, we expect to see volatility well into the November month. We want to see these key support levels hold through the next couple of noisy weeks to continue our bullish view on equities. We may see unusual market reactions to various election outcomes and we believe managing and reducing risk should be a top priority until an election winner is declared.
DailyPlay Update: As the uncertainty around the election and stimulus, we are holding off on entering new positions tomorrow and watch how markets react. We are holding just a few open positions this week, reducing exposure and maintaining a market hedge with our QQQ Put Spread going into the election.