Katie Stockton Predicted These Market Highs; Here's What She Says Is Coming Next

Katie Stockton, a technical analyst at BTIG, accurately predicted last year that the S&P 500 index would soar to new highs. On Thursday, she was a guest on CNBC to share her take on what to expect moving forward.

Stockton stated the S&P 500 index could see some near-term pressure and a "deeper pullback" towards the 2,280 level is expected. Although this would mark a downturn of around 3.5 percent based on Wednesday's close, the longer-term prospects remain skewed to the upside so investors shouldn't equate a dip as being the start of a formal correction.

"I think the right assumption to make is that the uptrend is going to remain in force, as they often do," Stockton said. "This is obviously a bull market, so we want to be respectful of that and really give the market the benefit of the doubt until it tells us otherwise."

It's inevitable that the current bull run will end at some point. So the question posed to the technical expert is how will investors know when the end is here.

She said many of the indicators used to gauge the strength of the market is based on moving averages so there will be a lag in identifying a new trend. For example, looking at a monthly bar chart it might take two to three months to realize a trend to the downside is forming.

See Also:

Economic Data Scheduled For Thursday

Earnings Scheduled For March 9, 2017

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