Or not. More like a Red Tide if Republicans actually gain in both houses of Congress and more importantly the Governorship's.
So I am trying to gain information to provide for my readers what type of direction the Pundits and Analysts believe the market will take next Wednesday November 7, 2018. This information to me is important since I am now currently a full time day trader in the market and would benefit from this information.
It is interesting I can not find any information about the Republican supposed "Red Wave" in other words, not only isn't there one but Analysts do not consider it a factor; as a matter of fact one article published by CNBC's Fred Imbert & Jacob Pramuk state that 85% of Analysts believe the Democrats will take the house but loose the Senate.
This sets up for a bullish looking market going forward; (traditionally) but depending on the number of seats the Democrats pick up it will more than likely lead to a stalemate in Congress and yes the American people are looking at another 2 years of getting nothing done. This of course will be blamed on the Democrats hurting their chances in the 2020 election and so the same problems we have suffered this century will continue.
What if Democrats take the Senate?
I am glad you ask, we can all but count on impeachment of Trump. That will cause overall volitility in the market not only in domestic markets but worldwide; as worldwide investors will worry about the direction of the United States but also a Pence Presidency. We also have to factor in the Mueller investigation and what where his findings lead. My personal speculation is a worldwide money laundering operation that will effect the banking industry and many foreign nationals depending on what countries they are in and their overall economy's. I can't see that far into the future but I can assure you it will generate many articles to come.
Why does this matter to us? You are supposed to be writing about the basics of Wall Street teaching us how to invest?
I am trying to give you an overall picture of how things work. Let me give you an example think of my website like your state motor vehicle department. You decide you are going to go to the department store 5 miles out of town to get a really great deal on shoes because they are know for that. I teach you how to drive, I grant you a license to drive. You enter your destination 5 miles away and drive to the store, in a perfect world the sun is shining and go directly to the store. In all reality did you need me, no it was easy and anybody can do it (ok maybe a license but say for our purposes you didn't need one) all is fine.
Now second scenario you enter info into the GPS and drive to store while it's raining, really hard, one mile down the road there is an over turned semi-truck, the police divert you onto a side road, it takes you a ways and there is a flash flood with water coming across the road (your motor vehicle training from me tells you what to do, stop go no further) you turn around inform police and they create a way around semi-truck to let you pass. The rain stops; two miles up the road you encounter a thick fog so bad you cannot see again I told you what to do, the fog burns off after 1/2 hour and you finally get to the store to learn it was closed do to bankruptcy. If you would have had all of the information in advance before you started on your journey you could have made the decision never to start at all.
Understanding what the overall market is doing and why is important and it is something you need to learn as we move forward you will realize that you have over a period of time and your fears of uncertainty and investing will disappear. Most of us did not learn to ride a bike in a day, we did not become a Ballerina overnight and learn to scale a 10,000 foot mountain in aday so give yourself time to learn Wall Street the same way over time and practice.
So there is a lot to the election on November 6, 2018 and what it means for the US Economy one thing I can assure you is next Wednesday the market will go sharply up or sharply down if you vote on Tuesday you are contributing to that decision regardless how you vote. I am saying this to show you how the world does not operate in a vacuum and neither does Wall Street.