Good day,

The results of U.S. presidential election on Wednesday will have a big impact on global politics.

The S&P500 has jumped during the presidential race, causing the formation of a descending triangle on the daily chart. So far, we feel that the asset could pull from the upper side of this triangle and drop to break its lower side. The triangle usually consists of five waves, and the 5th wave has the potential to form shortly before the potential breakout.

Should the asset break this triangle up, it can jump again and hit another historical maximum. The results of presidential election will define what is about to happen next.

Brent oil has pulled from the level of 38.39 and jumped, leaving a bearish trap behind. This asset is most likely to hit the level of 46.00 although it might go even further. The 46.00 psychological level however, will likely provide a very strong resistance so, let’s wait and see what’s in store for oil.

Gold remains next to a very strong psychological level of 1900.00, trying to close the trading day with a bearish engulfing pattern. In principle, this asset might slightly drop till the broken downtrend and jump afterwards.

Let us remind you that this material is provided for informative purposes only and cannot be considered as a direct go ahead to implement transactions in the financial markets. Trading in the financial markets is very risky.