By: Tom Gentile
on January 6th, 2021
I hope everyone had a safe and enjoyable couple of weeks of holiday celebration with their families. Welcome back to trading and let’s all strive to have a better 2021!
All eyes are on or have been on the congressional races in Georgia to see who wins and if the control of congress lies firmly with the democrats or not.
As I write I sense there are investors that feel a Democrat-controlled Senate is going to bring a higher corporate tax rate and tougher regulations on companies. This could weigh on the overall market but then hit the tech sector specifically.
There could be more fiscal stimulus, though, and that could help cyclical and more value based securities – especially those hit hard by the pandemic, like Airlines, hotels, and small-caps.
Look it isn’t my place with this newsletter to talk about what tax implications will happen with a blue wave in control of congress. I am going to continue to discuss how to use my scanning tools to assess direction for the markets and sectors, then securities and then use the tools to find option trade ideas that could capitalize on those pending moves…
so, let’s get to it.
C1P Chief 1-Percenter