Originally posted on 07/01/2018:

Quote Originally Posted by KVB View Post
Roy I want to buy a January 2019 S&P Put but the fact that Trump is president makes me worry about it. All he needs to do is win, again, say on trade this time, between now and then and boom, that Put tanks.

It's a tough problem to have, lol.
I think there is a ton to make on straddles on both mid term and the general. It's a little early because the time premium.

BUT. Can you imagine the turmoil if a blue wave is real and tax cuts are rolled back?

Imagine what would happen if Trump was actually defeated in the general and a wave of socialists rolled in? You could see a 10,000 point drop or more.

Trade Details 5,849 45 1.31 12.91 11.87 12.00 271.00 10.46 10.58 10.26 -1.54 20 3,294 Details Trade

So at the money Call/Put straddle would cost $12 for the Call and $10.58 for the Put both at the 271 strike on the SPY. These are December 2018 options.

There is no way this trade losses. None at all. The same trade will be available on the general election too.