The fundamental nature of financial markets is driven by asset price movements. When the market moves in a direction that is positive for an asset or a business, the price of that asset and the business will go up. Conversely, when the market moves down, the price of that asset and the business will go down.
In a stock or bond market, the trend is typically towards positive, which is the direction the market moves over time. For example, if the S&P 500 index is moving up, the price of the company will rise. If the S&P 500 is moving down, the price of the company will fall.
There are also times when the market moves in negative or in neutral directions, or when the market moves into the opposite direction of the trend. When this occurs, the stock or bond tends to fall. In the stock market, a stock or bond generally moves up or down a little less than a percentage point from its highest point.
For the most part, what the market looks like on the day before an election is largely a function of what happens within the broader market economy. For example, when the job market improves, businesses with jobs will benefit from higher demand for their products, resulting in increased earnings.
As a result of this, investors should be mindful of how their investments in the stock market behave given the current economic state of the U.S. economy.
When will the election take place?
Each presidential election is a unique opportunity for investors to make an investment decision. That being said, as of today, the most recent election will have the highest turnout. Over the coming months, many experts are predicting that voter turnout will make for the greatest market return in recent memory.
That being said, the election is not the only opportunity for investors this year. If you’re interested in following the election, we encourage you to visit www.businessinsider.com for an article on how you can follow the day’s developments for the most recent election.
What happens if I do not vote?
No matter what happens, the election results will have no influence on the day’s trading. It’s best to stay aware, however, and remember that elections tend to be volatile and make for good trading days.
It’s important to remember, however, that the election itself is not the biggest stock market story. The major candidates and issues are, in fact, the main focus of the overall market.
swing trading stocks to watch, what is swing trading in the stock market, best stocks for swing trading may 2020, books on swing trading stocks, swing trading software signals catalog