Most Popular
1. Banking Crisis is Stocks Bull Market Buying Opportunity - Nadeem_Walayat
2.The Crypto Signal for the Precious Metals Market - P_Radomski_CFA
3. One Possible Outcome to a New World Order - Raymond_Matison
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
5. Apple AAPL Stock Trend and Earnings Analysis - Nadeem_Walayat
6.AI, Stocks, and Gold Stocks – Connected After All - P_Radomski_CFA
7.Stock Market CHEAT SHEET - - Nadeem_Walayat
8.US Debt Ceiling Crisis Smoke and Mirrors Circus - Nadeem_Walayat
9.Silver Price May Explode - Avi_Gilburt
10.More US Banks Could Collapse -- A Lot More- EWI
Last 7 days
S&P Stock Market Real Earnings Yield - 29th Feb 2024
US Unemployment is a Fake Statistic - 29th Feb 2024
U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - 29th Feb 2024
What a Breakdown in Silver Mining Stocks! What an Opportunity! - 29th Feb 2024
Why AI will Soon become SA - Synthetic Intelligence - The Machine Learning Megatrend - 29th Feb 2024
Keep Calm and Carry on Buying Quantum AI Tech Stocks - 19th Feb 24
How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - 17th Feb 24
Why Rising Shipping Costs Won't Cause Inflation - 17th Feb 24
Intensive 6 Week Stock Market Elliott Wave Training Course - 17th Feb 24
INFLATION and the Stock Market Trend - 17th Feb 24
GameStop (GME): 88% Shellacking Yet No Lesson Learned - 17th Feb 24
Nick Millican Explains Real Estate Investment in a Changing World - 17th Feb 24
US Stock Market Addicted to Deficit Spending - 7th Feb 24
Stocks Bull Market Commands It All For Now - 7th Feb 24
Financial Markets Narrative Nonsense - 7th Feb 24
Gold Price Long-Term Outlook Could Not Look Better - 7th Feb 24
Stock Market QE4EVER - 7th Feb 24
Learn How to Accumulate and Distribute (Trim) Stock Positions to Maximise Profits - Investing 101 - 5th Feb 24
US Exponential Budget Deficit - 5th Feb 24
Gold Tipping Points That Investors Shouldn’t Miss - 5th Feb 24
Banking Crisis Quietly Brewing - 5th Feb 24
Stock Market Major Market lows by Calendar Month - 4th Feb 24
Gold Price’s Rally is Normal, but Is It Really Bullish? - 4th Feb 24
More Problems in US Regional Banking System: Where There's Fire There's Smoke - 4th Feb 24
New Hints of US Election Year Market Interventions & Turmoil - 4th Feb 24
Watch Consumer Spending to Know When the Fed Will Cut Interest Rates - 4th Feb 24
Blue Skies Ahead As Stock Market Is Expected To Continue Much Higher - 31st Jan 24
What the Stock Market "Fear Index" VIX May Be Signaling - 31st Jan 24
Stock Market Trend Forecast Review - 31st Jan 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Blue Skies Ahead As Stock Market Is Expected To Continue Much Higher

Stock-Markets / Stock Markets 2024 Jan 31, 2024 - 08:54 PM GMT

By: Avi_Gilburt


The difference between the perception of the stock market during October 2023, and today, is amazingly stark. At the time, almost everyone believed we were likely heading towards recession, and that the stock market was on its way down in a big way. Fast-forward to today, and GDP is stronger than most believed, consumer spending has been strong, the Fed is considering lowering rates, employment remains strong, and there seems to be further good news across many different sectors (along with the booming expectations based upon AI), with a number of major stocks hitting new all-time highs along with the overall stock markets.

As I noted last week, Bank of America pronounced they foresee a secular bull market that could last through 2033. And, I recently read one article suggesting how investors should be positioned on the long side for the next 40 years. And, former Dallas Fed President Richard Fisher publicly gave the economy an A+ on CNBC this past week.

Yes, indeed. Catastrophe has been averted, and it’s all blue skies from hereon. Or is it?

This actually reminds me of a 3-part series of articles I wrote back in 2022 entitled “What If They Held A Recession and No One Showed Up?” While I did not expect the market to drop as deeply as we did in 2022, we seem to now be heading to the ideal minimum target for this long-term bull market just north of 5000SPX which I outlined years ago.

Yet, I still believe we are potentially heading into a major top in 2024. And, you can read my 3-part series on my views on that matter:

How To know If We Are Heading For A Depression - Part 1

How To know If We Are Heading For A Depression - Part 2

How To know If We Are Heading For A Depression - Final Installment

So, I am going to keep this week’s missive quite short and outline my views for the coming week.

While we did not get the pullback I wanted to see the last time I published a short-term SPX view in a public article, it seems the market may be taking a more direct path to 5000SPX. I want to note that this is not the typical path we would normally see, as standard expectations would have provided us with that pullback I outlined in my last public article on the matter.

So, assuming the market is attempting to push us to the 5000+ region in a more direct fashion, support in the SPX is in the 4800-4835SPX region for the coming week. As long as we remain over that support, my next upside target is the 4955-4997SPX region, with more confluence being presented in the 4955-4960SPX region. When that next rally completes, I am expecting a pullback towards the 4800SPX region again, which, if held, can then point us to the 5000+ region in the coming months, which could then provide us with a major market top and, potentially, a strong reversal.

Alternatively, a break of support at any point in time now before we exceed 5000SPX will open the door for the larger pullback I initially wanted to see, pointing us down towards the 4350-4500SPX region before we make our final attempt at the 5000+ region later this year.

Avi Gilburt is a widely followed Elliott Wave analyst and founder of, a live trading room featuring his analysis on the S&P 500, precious metals, oil & USD, plus a team of analysts covering a range of other markets. He recently founded, a live forum featuring some of the top fundamental analysts online today to showcase research and elevate discussion for traders & investors interested in fundamental rather than technical analysis.

© 2024 Copyright Avi Gilburt - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2022 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in