On July 26, 2013, my comments on the DJIA were as follows: "DJIA is in the early phase of declining to its 50-day EMA at 15,198, or 360 lower! Full Stochastics and PPO are in "overbought" and turning down from these levels." Currently, we have reached that level on the DJIA (15,136). On a daily basis, the DJIA has just reached oversold levels, based on Full Stochastics and Wm%R. Further weakness is still possible; but, given these oversold readings, a relief rally should occur over the next several days to relieve the current selling pressure. However, what happens after any sort of relieve rally needs to be watched carefully. Why? Because it's 200-day EMA is currently 14,526, which would be the next major support level.
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