BALTIMORE ( Stockpickr) -- Last night's presidential debate is already getting attention from investors. It's got people wondering: Who's going to be better for my portfolio, Obama or Romney?
A lot of time has been spent researching the connection between who sits in the White House and how stocks perform. And, not surprisingly, a lot of it is contradictory. Democrats and Republicans both think that they're the better party for the stock market -- and they believe it.
So which vote means more cash in your account? The answer may be surprising:It doesn't matter. Honestly, most investors put too much attention on the office of the president. Sure, the commander-in-chief plays a big role in the economy and the market (everything from the choice of a Fed chairman to the capital gains tax rate has an impact on your returns), but the truth is that it's unlikely that one party is better for Mr. Market's health than the other. The most recent studies from universities and the Fed come to that conclusion too. But elections can still be good for stocks. The "presidential cycle" is one of the oldest investment cycles that have been measured by market technicians. It finds that the market tends to perform especially well in election and pre-election years. That bodes well for stocks for the rest of 2012 regardless of who wins. With that in mind, we're taking a look at five big technical stock charts to trade for gains this week. If you're new to technical analysis, here's the executive summary. >>5 Stocks Insiders Love Right Now Technicals are a study of the market itself. Since the market is ultimately the only mechanism that determines a stock's price, technical analysis is a valuable tool even in the roughest of trading conditions. Technical charts are used every day by proprietary trading floors, Wall Street's biggest financial firms, and individual investors to get an edge on the market. And research shows that skilled technical traders can bank gains as much as 90% of the time. Every week, I take an in-depth look at big names that are telling important technical stories. Here's this week's look at the charts of five high-volume stocks to trade for gains.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts