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Welcome and thank you for visiting!

The charts, graphs and comments in my Trading Blog represent my technical analysis and observations of a variety of world markets...
* Major World Market Indices * Futures Markets * U.S. Sectors and ETFs * Commodities * U.S. Bonds * Forex

N.B.
* The content in my articles is time-sensitive. Each one shows the date and time (New York ET) that I publish them. By the time you read them, market conditions may be quite different than that which is described in my posts, and upon which my analyses are based at that time.
* My posts are also re-published by several other websites and I have no control as to when their editors do so, or for the accuracy in their editing and reproduction of my content.
* From time to time, I will add updated market information and charts to some of my articles, so it's worth checking back here occasionally for the latest analyses.

DISCLAIMER: All the information contained within my posts are my opinions only and none of it may be construed as financial or trading advice...

Dots

...If the dots don't connect, gather more dots until they do...or, just follow the $$$...

Paris

Paris

Events

UPCOMING (MAJOR) U.S. ECONOMIC EVENTS...
* Wed. May 23 @ 2:00 pm ET ~ FOMC Meeting Minutes
* Mon. May 28 ~ U.S. markets closed for Memorial Day Holiday
* Wed. May 30 @ 2:00 pm ET ~ Beige Book Report
* Fri. June 1 @ 8:30 am ET ~ Employment Data
* Tues. June 12 @ 8:30 am ET ~ MoM & YoY CPI & Core CPI Data
* Wed. June 13 @ 2:00 pm ET ~ FOMC Announcement + FOMC Forecasts + @ 2:30 pm ET ~ Fed Chair Press Conference
* Tues. July 3 ~ U.S. markets close early at 1:00 pm ET
* Wed. July 4 ~ U.S. markets closed for Independence Day Holiday
* Wed. Aug. 1 @ 2:00 pm ET ~ FOMC Announcement
* Mon. Sept. 3 ~ U.S. markets closed for Labour Day Holiday
*** Click here for link to Economic Calendars for all upcoming events

IMPORTANT BLOG POST UPDATES...
* JCPOA - Will President Trump recertify the JCPOA on May 12?...stay tuned...May 8 the answer is "No"...US pariticipation in the deal
is scrapped...new sanctions coming for Iran and, possibly, for nations supporting Iran.

Wednesday, May 09, 2018

Political Headwinds Await US Markets As November Mid-Term Election Approaches

* See UPDATES below...

As economic benefits of last year's Tax Cuts and Jobs Act begin to filter into the US economy, the S&P 500 Index appears to be headed towards a retest of its all-time high of 2872.87 set in January of this year, as shown on the monthly chart below. This record high was accompanied by an all-time momentum (MOM) high, as well...hinting of further strength ahead at some point on this timeframe.

It has broken above what was near-term resistance of 2680 (as I described in my post of May 4).

Watch for a break and hold above its next major resistance level (top of long-term uptrending channel) at 2750. Otherwise, a break and hold below 2680 could see price retest its next support level of 2620, or lower.


However, political headwinds are lurking as Congresswoman Pelosi promises to roll back those tax cuts (like Pac-Man on steroids gobbling up "crumbs") if Democrats retake Congress in the November mid-term election...as well as Congresswoman Waters' non-stop demands for President Trump's impeachment.

Just how much such inflammatory rhetoric will affect the equity markets remains to be seen...perhaps not much until we get into the late Summer/early Fall with both parties further defining their policies and priorities that they wish to implement going into the mid-term and beyond into the 2020 general election...besides obstruction and impeachment.



* UPDATE May 17...

Democrats continue to put the well-being of MS-13 gang members (who have entered the country illegally) ahead of that of American citizens...



And, with comments like the one below, Democrats continue to push their gender card and now conflate it with the health of financial markets.

Exactly what their overall agenda is remains a mystery at this point...and whether or not that will be explained in detail before the mid-term election is anybody's guess.


* UPDATE May 22...

We'll see if Republicans can build on this shift in momentum in their favour over the Democrats through to the mid-term election. How will President Trump contribute to this momentum, not only to November 2018, but through to the general election in 2020, and beyond? We'll see...

Source: NationalReview.com