๐Ÿ”ฅTACO Trading Dominates the Market: Investors Bet on Trump Policy Concessions, Buying on Dips Becomes Mainstream Strategy


On April 9th, as the US-Iran conflict temporarily eased, Wall Street gradually formed a trading logic centered around Trump's policy styleโ€”TACO trading (Trump Always Chickens Out). The market generally believes that Trump's tough stance on geopolitics often ends in concessions, so escalating the situation is seen as a buy signal. Data shows that before Trump announced a pause on military actions against Iran, the market had already positioned itself in risk assets. The S&P 500 index recorded its first weekly gain in six weeks, and the risk premium in the options market remained low, indicating limited investor reaction to extreme scenarios. Institutional views suggest that the current market is repeating a cycle of conflict escalationโ€”sentiment pressureโ€”de-escalationโ€”asset rebound. Partโ€ฆ
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