I spent the first half of the month of July living in central Texas with my wife and daughter and spending a lot of time on the road.I've been able to get through a lot, but it's still early in the year.I have to admit, I haven't been able do anything particularly well at the moment, and I'm still working on my business plan, but the excitement is real.There's a lot happening in Texas, and this mo...
By Alex Seitz-WaldAssociated PressThe U.S. stock market is expected to soar higher in the coming days after a week of strong gains, as analysts believe a rally in energy prices will fuel a further rebound.
But if the market does not move forward much faster, it could be a very big bubble.
Here are five ways to watch the market for signs of a market correction.1.
Stock prices will be lower than they have been for a while.
Since the beginning of the year, the S&P 500 index has been above 10,000 for the first time in five years.
That’s because of a surge in oil prices, as well as a drop in oil inventories that has helped lift U.K. crude prices.
This week’s drop in crude prices, however, will be felt in the broader market.
Analysts said Thursday that they expect the S+P 500 will dip to between 9,000 and 10,500 before climbing back to around 10,100 by the end of the week.
That would be below the 10,700 level that analysts had previously forecast for.2.
Stock price gains will be more muted than they were on Wednesday.
It will take some time for the market to regain momentum, as the market will be looking at an economic recovery that has not yet occurred, according to a Reuters survey of more than 2,000 analysts.
However, if a drop off in oil production persists, the market could bounce back before it gets back to the current level of near-record highs.3.
The market is likely to rally even further in the first half of next week.
The S&s will be able to bounce back even more, as long as the Federal Reserve keeps pumping money into the economy.
That could be enough to boost the Dow Jones Industrial Average up to 2,936.
The Dow will close the day at its record high.4.
The rally will continue into the next week, but with a slight pullback.
If stocks continue to rally, the Dow will eventually trade near the record high it set on Nov. 8.5.
The selloff will end in mid-January.
That means that if the markets continue to move higher, the next few months will be extremely busy for the economy, as inflation will likely rise and unemployment will likely start rising.
While the Fed is trying to push inflation to 2% or lower, there is still uncertainty about how far that goal will go.
And investors have begun to buy back stocks in anticipation of a possible hike in interest rates, which would likely be met by an increase in demand for dollars.
The dollar is expected, however.6.
Investors will likely sell stocks during a bull market.
The stock market will continue to rise, but the market value of the assets will fall.
The chart below shows the correlation between the price of the Dow and the value of all U.s. stocks and bonds during a period of bull market from mid-September through the end-of-year.7.
Investors can’t stop buying stocks as the bull market continues.
The next few weeks will be filled with buying and selling.
Investors are likely to continue to do so as the economy continues to grow and prices of stocks rise.8.
There will be a sharp selloff on Friday and the selloff could continue through the week and beyond.
The price of stocks will start to rise in the second half of this week.9.
If you’re watching for signs that the markets will get back to normal, then you can invest in bonds.
If not, then stocks are your best bet.