Could March 18 2022 mark the start of a New Bull Market? "It appears that the worst of the market correction is over. Maybe 1 more pullback to 4300 on $SPX. But, the trend has changed and a New Bull Market is underway." Watch Robert Knight's video to hear his justification for this reverse market call. A transcript appears below the video.
This is a market call for the change in direction of markets here, March 18th, 2022. I know I make these bold calls at key inflection points and they have been pretty accurate [over] the last 10 years. We see here that $SPY was in this down-trending channel five way, moved down 1, 2, 3, 4, 5.
Truncated fifth, double bottomed here at 41.60 and then a strong surge off that about 6%. Now this move down is a 15% retracement, not really a bear market, but more than a correction. We are going to run into some trouble up here. It's coming into trouble, but it is back through the 250. Never did cross the 200 here.
So that's bullish. It has broken the declining tops line. So this is, I think the change in direction now, it really needs to get up through 4,500. We could see another pullback before we get going. But if this is the case, if this does break out through 4,500 and this is the next leg up and the bull market…we'll be trading this for two to three years.
And it's not unusual for a bear market, or a correction in this case, to last three or four months. We really started back here in November, where things really started to fall apart. We're into these four or five months of correction and it's more than just the $SPY. The tech stocks…got hammered, this $NDX was down 24%. Still has a lot of work to do, but it's also broken out here.
And if we look at the ETFs semis here, also, this is breaking out. These growth stocks … absolutely got hammered down -- some of them 70, 80, 90%.
So I think we've changed. I think we've turned the corner here. I think we're going to see that bull market start to go.
And we should see that last for another two to three years.