The DOW has dropped over 3% in the last week. With September fast approaching, the question is what will the market do. September is historically the worst month of the year for the stock market. The market needs to be watched closely. If the rally is to continue, the DOW must breakthru 10,500 soon, and 10,750 or so to confirm the continuation.
Read an interesting article about an indicator (Hindenberg Omen) that claims to predict market crashes (although it has successfully predicted market crashes 1 out of 4 times). Apparently, the indicator is now signaling a market crash. Even if a crash doesn't occur, the indicator could mean a decline in the months ahead.
Check out the article here.
There is also a good explanation of the indicator at Wikipedia.
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