1️⃣ Short On China
This is most obvious as President Donald Trump campaigned on rectifying China’s unfair trade policies. Over the past 4 years, Trump charged tariffs on China’s business activity, and it turned to trade war. As we know, if Trump wins the elections, the relations between the US and China will remain gloom. For ETF traders, you could sell the China ETFs. CFD traders could sell the China 50 or HK 50 Index, while the forex traders could buy the USD/CNH.
2️⃣ Buy Bank Stocks
The first year after Trump won the election, the bank stocks have well performed, and when the markets were dropping back in August, President Donald Trump was quick to call on the 3 biggest bank CEO to overcome the problem. In general, the bank stocks do well under the Republicans Administrations.
3️⃣ Buy Oil
The Trump Administration really loves the oil and gas industry. As the pandemic pressured the oil prices to drop lower, Trump made funding for the struggling industry a priority. However, demand and oversupply remain a problem in the industry and crude prices are at its lowest level in more than a year. If Trump wins the election, he surely will do something to the oil and gas industry. We suggest buying oil CFD and stocks like Exxon Mobil (XOM). The XOM is trading at its lowest levels in more than 15 years and with a dividend yield of 10%.
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