A two-month surge in the S&P 500 index, which was followed by a 2.64% decline on Friday, has triggered a rare, historically flawless bullish signal that could point to massive stock market gains over the next year.
Unprecedented Momentum The S&P 500 recently logged an explosive advance, climbing more than 19% within a two-month window.
Carson Group Chief Market Strategist Ryan Detrick said in an X post that "The S&P 500 just had one of the best two-month rallies ever, as it was up 19.5% in two months on 5/29/06." While the index recently suffered a sharp drop on Friday—marking its worst single day of the year so far—market historians urge investors to look at the bigger picture.
Following such a 19% rally over two months, stocks were "never lower 1 month, 3 months, 6 months, or a year later." Looking out over a 12-month horizon, the index boasts an average gain of more than 40%.
Evaluating the data, Detrick could not hide his optimism.
