Momentum favors the bulls on Tuesday morning, although the slowdown in buying in recent weeks will weigh heavily on traders' minds.

Trading is also going to be lighter on Friday as a result of the markets being closed on Monday, so the best trading will tend to take place in the morning with higher risk in the afternoon.

Overall the market is looking more bearish in the short term and likely to continue to see corrective action through greater choppiness and downside as we head into the three-day holiday weekend.

Toni Hansen is expecting further weakening into Wednesday.

The Nasdaq still has a lot of room to move up on the daily charts, but the Dow is likely to struggle a bit more in comparison now.

As we head into the new week, this bullish bias remains in place.

The momentum coming out of the recent range was not exceptional, but still leaves room for the indices to climb back into last Wednesday's highs with very little resistance barring any news that may sway it on Monday.

A correction that becomes apparent on the weekly charts would be ideal since it would open the door for some stronger upside momentum again without concerns of the market being too extended already.

Even though the market has been struggling at the highs, we still are not seeing any strong change in momentum or any upside exhaustion move that would allow for a longer daily correction just yet.

It is expected that the Fed will leave interest rates unchanged on Wednesday, so most of the focus will be upon the wording used in their statement.