The negotiations between Iran and Qatar have entered their third day. Following discussions with Qatar, the Iranian Foreign Minister agreed to shorten Iran's previously proposed seven-day reopening plan to two days. If the US meets Iran's conditions, the Strait of Hormuz could potentially reopen within two days. Iran's conditions include lifting some sanctions, restoring waivers for Iranian oil exports, releasing frozen assets, and reducing US military presence in the Middle East. Trump previously rejected Iran's seven-day plan, and there has been no clear public response from the US regarding a two-day plan. The US midterm elections on November 3rd are fast approaching. The protracted conflict with Iran and the resulting rise in oil prices due to the Strait of Hormuz conflict have put immense pressure on the Republican Party. If the two sides can reach an agreement before the election and reopen the Strait of Hormuz, it would certainly be beneficial for Trump and the Republican Party, meaning Iran would need to deliver a diplomatic achievement to Trump before the election. Trump has stated that he will not attack Iran again before the election, but he has adopted a threatening stance since then. Therefore, Qatar is still mediating between the two sides, hoping to reach an agreement between the US and Iran before the situation escalates further. A friend asked if I'm still shorting oil prices. Yes, I am, and it's painful, mainly because the funding rates are too high. Follow @Gate for more market insights.