What price action to expect after the Election ?

One scenario is for the market to rally after the election. Why? There are three reasons:

• If Biden wins, people can expect a large stimulus package.
• If Trump wins, people can expect favorable business policies to continue.
• Regardless of who wins, everyone will be relieved that it is all over and buy the market.

In summary, there are plenty of cross-currents at this time. The bulls have been wounded but are not dead just yet. However, a close below 3200 by SP-500 would be very negative and would reinforce the bears hold on the market.

Anything is possible.

 Now the only remaining near-term support area is at 3200. If that gives way, a pattern of lower highs and lower lows will be in place, and that is the mark of a bear market. That would be a game- changer.

The market continues to be bullish and it will continue to be bullish as long as the SP-500 continues to close above 3400.