Outlook 11/06: U.S. stock index futures are dipping into negative territory again as Americans cast their vote in a closely-watched midterm election. The results will likely set the tone for the markets, though the question is what kind of tone that will be. Some say a Republican sweep could send Treasury yields higher and weigh on stocks, though others say it could propel equities given Trump's business-friendly agenda. The same split prediction is being offered if Democrats take control of one of the chambers of Congress.
Polls in the U.S. will not begin closing until well after the market closes, futures markets could be active overnight Tuesday depending on the outcome. History suggests that in the months ahead, stocks are likely to be far higher than they are today.
/ESZ18 Value: YVAH 2739 YPOC 2727 YVAL 2722
/ES Plan: Yesterday market closed bullish leaving a bimodal profile (LIS 2736). Overnight looks slight bearish moving within 2729-2742 range, so we've these options:
A) If market remains below LIS 2736 with bearish internals, be a seller towards HVE 2729 YVAL 2722 HVE 2719 and LVN 2700.
B) If market starts to move above LIS 2736 with bullish internals, become a buyer towards YVAH-GAP 2739 and HVE 2742-2758.
Today's Economic Calendar
10:00 Job Openings and Labor Turnover Survey
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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Glossary of terms
