BOTTOM LINE: Medium-term, tops are quite close. Short-term, there is still not enough compelling evidence, even though it (the evidence) is accumulating.
On the hourly chart of DJ EURO STOXX50, a false break above September highs is encouraging for the bears. Even though the structure from October lows (blue "4") is mature, there is still a chance of a run at the highs. For an immediately bearish scenario, EU markets should not rally past levels traded around 12.45pm today (13 Oct). Taking out those levels exposes another ~2% upside.
Dow Transports, shown below on an hourly chart, may have topped for now. I would not like to see it rally above yesterday's highs for an immediately bearish view.
This is a four-hourly chart of the USD against the Hungarian Forint (HUF). New lows are made against substantial divergences on MACD. Overall, the pattern appears to be base-building. I am still a buyer on weakness.
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