The Most Compelling Chart of the Election Week

This stock index could advance no matter who wins the election

An argument might be made that small cap stocks could do well in 2025 no matter which candidate — Trump or Harris — is elected President of the U.S.

The weekly chart of the Russell 2000 futures contract is set to reflect this possibility.

The chart displays a 15-week right angle ascending triangle pattern. This pattern has a high probability of success (60% of ascending triangle breakouts reach their targets with a minimum of serious retesting.

An ATR completion of this triangle through the 2320 level (nearby futures) would establish a price target of 2600.

As always, my risk on a long-side trade would be limited to 80 basis points.

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