- According to a Wall Street Journal piece posted over the weekend, global investors haven't been “this bearish on the stock market in more than a decade”.
- About the same time, MarketWatch posted an article talking about how the S&P 500 was poised to move out of bearish territory if it was able to extend last week's rally.
- In my book, not being a global investor or economist, not only did the S&P 500 move into an uptrend last October but it also moved out of bearish territory.
A couple stories caught my eye over the weekend, both of them having to do with the S&P 500 Index ($INX). As you know, I’ve been bullish the S&P since last October when it posted a spike reversal on its monthly chart. This told me the previous long-term downtrend that had begun with a bearish key reversal during January 2022 had come to an end, albeit 8 months before It was expected to. For the record, using a count of 18 months (roughly the average length of a downtrend for the S&P), the previous downtrend was expected to turn up during June 2023 (this month). But that’s markets for you, thanks to Chaos Theory the only thing predictable is unpredictability.
