Charts Predict: Dow at a Crossroads, Take Profit in Bonds

Critical Times for the Dow

The Dow Jones Industrial Average is at a juncture, which could send the index either sharply higher or lower, Sandy Jadeja, chief market strategist at ODL Securities, told CNBC.

"If this market stays above the 8,811 for at least the next three days then we can look forward towards the 9,182 and that's going to become the 79 percent retracement," he said on Tuesday.

"There could be a rally in the making," he said, adding that it would be a bear-market rally.

(Watch the full interview with Sandy Jadeja, to the left).

Time to Take Profits after Bond Rally

Investors should take profits from the recent bull run in the bond market, Max Knudsen, director of PIA -, told CNBC.

"This for me is the end of the bull run for this quarter, it's time to take profits," Knudsen said while looking at the charts for U.S. Treasurys and German Bunds.

The bullish enthusiasm has been exhausted, he added.

Bond markets have seen heavy buying in recent weeks as investors sought safe havens in the face of volatile stock moves. Increased demand pushes prices higher, which lowers the yield on the government-backed securities.

(Click here to watch the full interview with Max Knudsen >>>).

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