The "TACO trade" strategy, coined by President Donald Trump, has been a successful play in the stock market since 'liberation day' when he introduced major policy announcements that the markets find hostile. The idea is that Trump often presents an extreme stance on policy initially, before settling it down in a more palatable place for equities. This strategy has been successful, with investors buying the dips when there is a rally. However, data on whether traders are still buying dips amid the Middle East war is unclear. The original 'TACo' saw a more than 12% decline in the S & P 500 on the back of Trump's tariff announcements, with the index surging 9.52% on April 9, 2025 after he announced a 90-day pause on his reciprocal levies applied to all countries except China. The subsequent surge marked the end of a sell-off that began in late February due to uncertainty regarding the president's trade policy. The current situation is similar to that of the U.S.-Iran war, with current events and the potential removal of tariffs on Greenland, S.