I noted last week that the S&P was at a key junction on the chart. Momentum had slowed and the price action needed to accelerate to the upside to reverse this downward trend. So far, the markets have responded "so so" since the note. Now the renko chart, is showing a momentum slowdown as well as resistance in the current range. A breakout above 1200 will nullify this I believe but if I were a bear looking to short the market, I might find suport in this chart, regardless of how the elections end up on Tuesday or what the Fed says on Wednesday.Overall the trend of the equity markets remains higher and teh bulls have the ball but of late the warnings signs have been popping up all over the place. Also the fact that October basically did not see a correction of any sort worries me a bit about how November plays out. However, in terms of seasonality, December looks like we will be strong so we'll see how this plays out.
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