Excerpts: “There’s probably further to go, probably through Thanksgiving, maybe even into early December,” Wilson, the bank’s chief US equity strategist, said in an interview on Bloomberg Television on Friday.
But once the S&P 500 breaks through its 200-day moving average, which currently sits around 4,081, that may “get the animal spirits going” and draw in more passive flows, he explained.
That could propel the broad index to 4,200 or 4,300, he added.
Of course, there is downside risk as Wilson hedged in October, "if this market cannot hold the 200-WEEK moving average, then it's likely there will be no meaningful countertrend move. Instead, we can make straight shot to 3400 or lower. A break below last Thursday's lows would seal the deal in that regard, in our view."
“It’s going to remain volatile,” Wilson cautioned.
“It’s still a bear market so it could rip you apart.”
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