It is important to remind ourselves that politics may have relatively minimal effects on the investment outlook. At least that’s what the historical evidence appears to suggest.

Many stocks, notably cyclicals, have already had substantial corrections through Q2 into Q3 because of these concerns. Some cyclical groups are now showing early signs of bottoming near their 200-day moving averages following 3-5 month correction.

The Trend & Cycle Roadmap is a client friendly weekly update discussing the key technical developments underway across markets and the implications for changes in equity leadership.