Veteran technical analyst spots key stock market signal

Helene Meisler has seen a happening oregon 2 implicit the past 4 decades of helping pros and Main Street investors navigate the banal market. Meisler, a method expert whose vocation includes grooming nether legendary method expert Justin Mamis astatine Cowen & Company in the aboriginal 1980s, has tracked the markets done Black Monday successful 1987, the savings & indebtedness crisis, the Internet roar and bust, the Great Financial Crisis, Covid, and 2022's carnivore market.

In short, portion I've been tracking the banal marketplace professionally for 30 years, she's got adjacent much been-there, done-that chops, making it important to see what she thinks happens adjacent successful 2026. In different words, erstwhile she speaks, I wage attention.

Unfortunately for bull-market fans, I've noticed Meisler has struck a much downbeat code lately. In fact, connected January 15, Meisler highlighted a awesome suggesting that stocks could look stiffer headwinds, astatine slightest successful the abbreviated term, lone days aft hinting astatine caution successful a X chat with legendary technician Walter Deemer (who has been doing this since the 1960s).

It's been an awesome rally since the 2022 carnivore market, with stocks notching 3 consecutive double-digit yearly returns, including a 16.4% summation successful 2025. The spot has led galore connected Wall Street to onslaught an optimistic code for stocks successful 2026 (a worrisome awesome successful itself).

However, if I've learned thing implicit the years, it is that erstwhile everyone agrees connected what happens next, you'd amended beryllium prepared for the implicit other to happen. After all, stocks thin to find ways to disappoint the masses.

Most of the excitement implicit 2026 assumes a continuation of 2025's bullish tailwinds:

• A friendly Federal Reserve that's boosting economical enactment with little rates.

• Robust AI R&D spending.

• Cost-cutting and revenue-drivenS&P 500 net growth.

Those are almighty tailwinds, indeed. The Fed chopped its Fed Funds Rate by 0.75% by the extremity of 2025, lowering borrowing rates connected everything from mortgages to manufacturing plants. Meanwhile, the biggest unreality information halfway players, including hyperscalers Amazon and Alphabet, are expected to walk $527 billion connected AI successful 2026, according to Goldman Sachs, up from $394 billion successful 2025. Meanwhile, firm profits person surged, rising an estimated 12.4% successful 2025, with different 14.9% of maturation expected by Wall Street successful 2026, according to Factset.

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