Market Miracle On The Horizon? Carson Group's Leading Analyst Predicts A 13% Stock Market Surge Over The Next Year

The stock market is poised for a significant upturn over the next year, according to a leading research firm’s equity strategist.

What Happened: Carson Group’s equity strategist Ryan Detrick has identified two key stock market signals that suggest a potential 13% gain over the next twelve months, reported Business Insider.

The first signal is the S&P 500’s 24% rise over the past 20 weeks, historically leading to an average gain of 13% over the next year. The second signal is the S&P 500’s 8% year-to-date rise as of the 50th trading day of the year. This has resulted in an average 12.6% gain for the rest of the year, compared to the average return of 7.6%.

“We found 25 other times stocks were up at least 5% on day 50 and the rest of the year was up an incredible 24 times and up 12.6% on average the rest of the year versus the average return of 7.6%,” Detrick explained. 

“This strength off of the late October lows is actually consistent with the beginning of longer-term market strength, not the end of bull markets,” Detrick said.

See Also: Stock Market Could Be On Brink Of A Correction, Says Analyst Who Doesn’t ‘Expect A Bear Market Any Time Soon’

Why It Matters: This forecast comes amid a series of contrasting predictions about the stock market. Earlier in February, a report from Ned Davis Research suggested that the current bull market, which has lasted for nearly a year, could continue for the foreseeable future, potentially until 2027.

However, in March, the same firm cautioned that the market could be on the brink of a correction due to prolonged market enthusiasm.

Meanwhile, John Hussman, the president of the Hussman Investment Trust, warned in February that the current stock market rally, driven by a “fear of missing out” (FOMO), could lead to disappointing long-term results.

Detrick’s forecast also comes at a time when Piper Sandler‘s chief market technician, Craig Johnson, warned of a potential 10% correction in the stock market, based on technical signals indicating that the market may not be ready for a significant upturn.

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