Have Markets Found a Turning Point Ahead of the Elections?
Fed rate-hike bets topping 70% have pressured markets, including precious metals and U.S. indices, toward key support levels. Could these levels signal a turning point ahead of the U.S. midterm elections?
Share this:
Fed rate-hike bets topping 70% have pressured markets, including precious metals and U.S. indices, toward key support levels. Could these levels signal a turning point ahead of the U.S. midterm elections?
Razan Hilal, StoneX Media Market Analyst, breaks down the technical picture for silver and the Dow Jones as risk-off sentiment spreads across markets. Silver's daily RSI is testing oversold conditions last seen in 2023, with price approaching a nine-month support line that connects lower lows since February.
Rising December rate hike expectations on the CME FedWatch Tool, alongside elevated crude prices and political uncertainty around Israel's election and the U.S. midterms, are weighing on gold and silver. The Dow Jones Industrial Average is also pulling back, testing Fibonacci retracement levels of its October advance that separate a near-term buying setup from a broader bearish shift.
Deeper on the chart, the golden 61.8% Fibonacci retracement of silver's long-term advance aligns with a multi-decade trendline through the 1980s, 2011 and 2025 highs, forming a historic confluence zone.
This content was created by an affiliate of FOREX.com and represents the views and opinions of the author/speakers, not the views and opinions of Forex.com, StoneX Group Inc., or its subsidiaries. The content has not been independently reviewed by Forex.com.
X: @Rh_waves
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
Have Markets Found a Turning Point Ahead of the Elections?
Fed rate-hike bets topping 70% have pressured markets, including precious metals and U.S. indices, toward key support levels. Could these levels signal a turning point ahead of the U.S. midterm elections?
Nasdaq 100 warning signs mount after brutal October
The Nasdaq 100 has printed a bearish monthly key reversal after a brutal October, with weak market breadth and heavy losses among AI beneficiaries raising the risk of further downside.
Crude Oil Weekly Outlook: U.S.–Iran Deal Hopes Ahead of Elections?
Crude oil weekly outlook: U.S.–Iran negotiations may be moving closer to a breakthrough as the U.S. midterm elections approach on Tuesday, bringing key resistance levels on crude oil charts into focus.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.