FX.co ★ Republicans have every chance to win majority in Senate. Four seats remain undetermined

The Democrats have lost the House of Representatives elections. Now, the Republicans will control the chamber. Most analysts suppose that such a state of affairs will hardly cause any problems. Undoubtedly, it is a perfect variant when one party manages both chambers. However, it is too good to be true. The Democrats were controlling the Senate and the House of Representatives as well as holding the presidential post for 2 years. Now, they will lose their absolute control. What is more, they may also fail to win a majority in the Senate. According to The Associated Press, 31 out of 35 seats in the Senate have now been determined. The Democrats got 46 seats, while the Republicans have 48 seats. Four more seats have not been determined yet, so any of the party has a chance to win. It is already known that a second round will be held in Georgia. The Republican senators are still leading in Alaska and Nevada, and a Democratic senator has surpassed his rivals in Arizona. In my opinion, the Democrats are very likely to lose control of both chambers.

Now, most recourses and experts are voicing that the failure of the Democratic party was quite predictable and will hardly have a negative effect. For the US it is an ordinary situation when the midterm elections are won by the rival party of the current president. This could be explained by the fact that people do not always approve of the actions taken by the ruling party and they try to change the situation by voting for another party. The only question of these elections is how many seats the Democratic party will lose. Most US journalists are pinpointing that it lost an insignificant number of seats. Even Donald Trump said that the election results were disappointing and that there were a lot of violations.

Many sources note that the real goal of the Republicans was not to win the elections but to create a comfortable springboard for themselves before the presidential elections. The Republicans focus on economic problems in their election statements, in particular on high inflation, which they blamed Biden and the Democrats for. It is also reported that Trump openly promoted participants of his team in many districts. In some districts, they lost the race, whereas, in others, they won. Meanwhile, Donald Trump stated: "If the Republicans win, I deserve credit, if they lose, I'm not to blame."

Joe Biden has also faced some obstacles. The midterm US elections are considered a kind of referendum in support of the current government. If the Democratic party loses control of both chambers, Joe Biden is likely to lose in the next presidential election. That is why the party will have to find a new candidate or accept the defeat.

Judging by the analysis, the formation of the uptrend has complicated to the form of a 5-wave structure. However, it could be already completed. It is quite possible that the instrument has already started the formation of the first wave of the downward section. That is why traders may go short with the target near the yearly low. The MACD indicator should be headed downwards. The wave e is quite weak. That is why the quote may resume rising. However, now, the likelihood of a decline is higher.