Technical analysis expert Richard Suttmeier of ValuEngine.com believes a multi-year bear market lies ahead, unless the Dow can get back above 10,640 this month.
"That's the 120-month simple moving average and we've had monthly closes above that moving average for 26 years," he explained on CNBC's "Squawk Box." "So if we have a monthly close below it it will be the first since July of 1982. That to me is saying we are in a multi-year bear market." (See his full comments in the video).
Suttmeier's technical analysis indicated trouble was coming, he said.
"And the warning came when we failed to stay above the 200-week simple moving average, which was June of this year, and then we spent the whole summer trying to climb a wall of worry and get back above that moving average and weren't able to to it. Therefore you're not oversold yet on the charts."