Stocks tumbled Tuesday and widely followed strategist Jim Paulsen thinks the decline isn't over. He believes equities will continue to head lower, with a likely correction in the cards.
There are several factors at play, Paulsen said in an interview with CNBC's "Power Lunch" on Tuesday.
For one, there has been a continual failure of stocks to rise to and extend a sustained rally.
In fact, if the S&P 500 finishes below 2,100 again Tuesday, "that's several times we broke 2,100 and couldn't make it through on a sustained basis and that's giving a sense of a major top," said the chief investment strategist for Wells Capital Management, which manages more than $350 billion in assets.
The index fell 1 percent to 2,104 on Tuesday.