🔁 “TACO Trade” Under Trump: The Cycle of Panic and Rally 📈
📅 Key Events:
April 2, 2025 (Liberation Day) — Trump announces 10% tariffs on all imports, with threats up to 49%. Markets panic. S&P 500 futures drop ~3.9%, Nasdaq ~4.7%.
(Sources: Business Insider, Investing, Washington Post)
April 3, 2025 — Nasdaq plunges 5.4%, S&P 4.9%. One of the largest single-day drops in points.
(Source: Wikipedia)
April 7–9, 2025 — Trump pauses tariffs for 90 days (except China). Markets rebound sharply.
S&P +9.5%, Nasdaq +12%, Dow +7.8%. Biggest daily gain since 2008.
(Sources: Alphanode Global, ABC7 Chicago)
May 27, 2025 — Trump delays 50% EU tariffs until July 9.
Immediate bounce: S&P +2.1%, Nasdaq +2.5%.
(Source: CBS News)
🧩 A Repeatable Pattern:
🔴 Trump threatens → 📉 markets panic → 🟢 Trump backs down → 📈 markets rally.
This loop is now called the “TACO Trade” — a multi-day goldmine for traders: buy the dip, sell the recovery.
🧠 Why does this matter?
Consistent ‘buy-the-dip’ opportunities: Panic drops don’t last long.
Volatility cycles: These political triggers create trend opportunities without fundamental changes.
Institutional edge: Large players likely anticipate these cycles, understanding how to play political narratives.
📌 This post builds on our earlier take about how political moves often coincide with technical corrections — raising the question: coincidence, or controlled narrative?
❓What’s your take?
🔘 Yes, it's a calculated panic-to-rally recipe
🔘 No, just natural reaction to political risks
🔘 Institutions are pulling the strings
🔘 Still figuring it out — keeping an eye
#TRUMP #TACOTrade #MarketCycles #Geopolitics #CryptoAndMarkets $BTC