US Election aftermath...how will this affect the markets?

[JayJones]

How will Joe Biden winning affect the Forex and the Crypto markets?

 

[bigdolly]

How will Joe Biden winning affect the Forex and the Crypto markets?

I think Biden's win will be dovish for USD due to revival of risk-on.

 

[EuroTrader]

I have seen the effects of elections in past years from UK, France and USA as well but this election had the poorest effect on market in terms of volatility. I mean market just did not give a damn about these elections. Being super flat.

 

[Pheniox123]

Hi there,

I will second Bigdolly’s comment above; what I have noticed is the weakening of USD against most majors; this was observed during the election and gained traction when Biden was projected to win. The aftermath now I suspect a continued weakening of the USD (but again who actually knows; as Trump could dig his heels in and cause havoc before he goes; which could strengthen the USD again)....trade carefully I would say

Thanks
Pheniox

 

[Nnn.h]

I'd not say the elections didn't affect the market at all. did you see shadow of the candle for 11/04/20 on the daily chart on eurusd to understand what happened at elections time. i didn't trade that day. and i was sure eurusd would has downward correction but in fact it went up, i'd have lost.

 

[Nnn.h]

but the good thing happen. biden win. congratulation.

 

[JayJones]

Thanks for thoughts.

 

[Akwin]

S&P 500 volatility has typically been higher in election years than in non-election years, as markets frequently reprice the probability of the future administration’s policies. Markets have also tended to react more positively in the immediate aftermath of the election of a Republican president, as the party’s policies are broadly thought of as more market-friendly. But it is important to note that this is by no means a strong rule of thumb and that other significant geopolitical and economic events may carry more influence over the market’s direction.

 

[Waldai]

I was actually pretty surprised to see very low volatility for these presidential elections. It seems to me that markets are not very interested in elections, which is abnormal market reaction. More impact had make information about new vaccine.

 

[kim855]

Some interesting perspectives, thanks all.