Art Cashin warns: We need to revisit the old highs

Cashin says: We're a little overbought

Art Cashin said it is very important for the stock market to "revisit the old highs" it reached as 2014 was getting underway or face the possibility of a major decline.

Cashin, UBS' director of floor operations at the NYSE, told CNBC's Mary Thompson around midday, "The reason for that is you have, at this point, if we stopped here and were to sell off, this would be a right shoulder in a rather formidable head-and-shoulder formation."

He said some on Wall Street have been warning that a similar bearish technical pattern was seen in 1929, the year the stock market suffered a major crash.