The Brew Ep. 519 — Trader’s Workshop | Nov 4, 2026 — Trading Choppy Markets the Day After the Election Episode aired: Nov 4, 2026 | Runtime: ~17 minutes | Hosts: Kevin “Lex” Luthringshausen, Mark Phillips & Jason De Lorenzo The day after the midterm elections, the S&P 500 is up about 130 points, close to 2%, and the VIX has dropped about three points to around 17. Mark notes that futures were flat overnight and only took off once it was clear the election result would be accepted without a fight. Markets, he says, crave certainty. Jason thinks the rally could carry toward 7,800 by the end of the week as event volatility drains out. With choppy markets and big swings in recent weeks, the hosts share how they adapt. Jason’s first rule is to size down, especially if you’re long gamma. In a high-volatility market, smaller positions can produce similar dollar results, so there’s no reason to get greedy. He also notes that high volatility doesn’t automatically favor option sellers: the one-day S&P straddle was priced around $70, and the overnight move went right through it. Mark agrees on size and adds: be nimble. When news is moving fast, your thesis changes faster too, so reassess more often. Lex focuses on discipline. He sets his levels ahead of time and places orders above the market, letting price come to him rather than chasing. When a trade fills, he puts in his exit order right away. He admits he enjoys high-volatility markets because prices get out of line and people do things he can take the other side of, but you have to accept that some trades you close early would have expired worthless anyway. On structure, the group agrees that if you sell high volatility, you should also buy some. Calendars can work, depending on how fast near-term volatility decays versus longer-term. Lex likes iron condors in this environment because higher volatility spreads the strikes further apart, though the straddle being blown through is a reminder of the risk. Jason uses good-till-canceled limit orders at profit targets. Mark also raises overnight gaps. Everyone knew the election date for years, so concentrated variance on this day was predictable. With pre- and post-market trading, you can react, but liquidity can be thin, so put limit orders out and let them come to you. SpaceX, for example, was down 10% before the open. The episode closes with plans for TraderFest next May, likely May 10–12, with Las Vegas teased as the location. Key takeaways: – Size down in high-volatility markets. – Set entry levels in advance and don’t chase. – Pair the volatility you sell with some you buy. – Plan for gaps around known events. Options involve risk. This episode is educational and not a recommendation. |
About Trader’s Workshop / The Brew
Trader’s Workshop is a recurring segment within The Brew on Tradier Hub where Lex, Mark, and Jason engage with audience questions and work through live market setups including major earnings events.
