How the US Election will affect the Market?
The US election coming up this coming Tuesday 3rd of November 2020, is creating chaos for traders as they dig deep to find the latest trends from history. Everyone is wondering how the market will react?
Traditionally, we would look at the same circumstances in history to gain insight and predict what will unfold for us.
It is interesting to note that with the exception in 2016 when there was a fall of 1.9% over a week. The average return of six instances was an increase of 3.8% since 1992. Some strategists analyse the market trendback to the late 1980’s and only find a continued rise up to two weeks proper to elections. Reports show President Donald Trump has climbed 3% in the month of October. It is anyones guessing game at this stage as we head towards the big election day!