After its worst two-week start to a year ever, the Dow Jones industrial average stands just below the key psychological level of 16,000.
More important to the math geeks, the Dow is almost three standard deviations below its 50-day moving average, a condition it’s been in for just 0.6 percent of the trading days of the last 35 years, according to Kensho, an analytical tool used by hedge funds.
Dow Jones industrial average with 50-day moving average
So conditions are ripe for a rebound.
And if there is a snap-back, the following Dow members should lead the way based on how oversold they are according to Kensho.