S&P 500 at 5,200 will determine if stock market rebound continues or declines, according to RW Advisory's Ron William.
Strategist Ron William at RW Advisory states that the S&P 500 reaching 5,200 will determine whether the current stock market rebound will continue or result in a further decline. The US economy's consensus view of a soft landing is at a "make or break" point, as the S&P 500 has reached its highest session since 2022 at around 5,310. According to William, this "bull trap squeeze" situation, with bullish sentiment based on the consensus of a soft landing, is uncertain. A drop to 5,200 might indicate a correction of over 10%, and William attributes the market's current instability to a triple whammy headwind of extreme momentum, rotation fragility, and cycle asymmetric risk.
August 09, 2024
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