The Dow is more or less set for a test of July lows given it closed inside the body of the initial reversal day. Stochastics still have room to maneuver down - reaffirming the need for a July low test:
The S&P has similar concerns:
Markets trading in a 'no-mans' land; too late to short, too early to buy. Expect a drift lower in this environment until the approach of support triggers short covering.
Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, market alerts and stock charts website