Canaccord Genuity believes stock prices move in four-year cycles. Their stock charts that go back decades, a few of which are featured here, make a compelling argument.
Javed Mirza, technical analyst at the firm, has updated his 2021 Outlook report from earlier in the year.
He thinks the S&P 500 can continue to move higher in the remaining portion of the first half of 2021, but in the second half, and into 2022, a four-year cycle reset will kick in, and investors would be wise to take shelter for a while in more defensive stocks.
But Mirza also believes a secular bull market will remain intact and could run into 2030.
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by Javed Mirza, Technical Analyst, Canaccord Genuity
In our 2021 Outlook piece entitled The First Half Should be Fun But in the Second Half Prepare to Run, we utilized our long-term cycle and trend work to forecast our price target for the S&P 500 (3,955) as well as examining equity market positioning within the Market Cycle Model… we update their performance below.
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