The S&P 500 is coming off its most bearish week in five weeks, with its rally stalled at the 50-week moving average, trend resistance, the 161.8% Fibonacci line and the September high. The daily chart shows the price closing below trend resistance and the market failing to return to 4000. A bearish pattern formed on Friday and the upward momentum is turning negative. A break below 3915 means a continuation of the decline, with an initial target of 3818.2 and a break below 3800 to focus on 3700.China's A50 index has risen nearly 20 per cent since its October low. However, recent price action has formed several upward lines, suggesting that the rally is running out of steam. RSI(2) is also in overbought territory and has formed a bearish divergence. I suspect the market is due for a pullback. If the price retraces but remains above the 13,000 support area, a bullish strategy can be considered. A break below 12,926 will lead to a deeper retracement towards 12,600 - at this level, there will be opportunities to find band lows and bullish opportunities.