In Tuesday's post, "Bullish Or Bearish," I discussed several charts with respect to the market. However, this was the most important with respect to what I believe may occur after the inauguration in January.

"I have discussed previously the importance of 'price' as an indicator of the market 'herd' mentality. One of the major problems with fundamental and macro-economic analysis is the psychology of the "herd" can defy logical analysis for quite some time. As Keynes once stated:

'The markets can remain irrational longer than you can remain solvent.'

Many an investor have learned that lesson the hard way over time and may be taught again in the not so distant future. As shown in the chart below, the momentum of the market has decidedly changed for the negative. Furthermore, these changes have only occurred near market peaks in the past. Some of these corrections were more minor; some were extremely negative. Given the current negative divergences in the markets from RSI to Momentum, the latter is rising possibility."