S&P 10,000! Is it possible?
In 2013, I wrote this >>>> https://www.seeitmarket.com/is-this-1995-stock-market-all-over-again-13490/ for SeeItMarket! I received a lot of interesting responses after I wrote that post! I recall one person calling me an idiot on StockTwits/Twitter…. Can I predict the future? No, but I do believe studying history can give us clues as to what could happen in the future!
Today, I wanted to continue to study history. The title of this post is “S&P 10,000! Is it possible?” Well, let’s take a look!
Charts paint beautiful pictures for me! Let’s take a look at a few charts below:
What the above chart shows is very interesting to me! It shows the S&P 500 and its 17 year wide range consolidation pattern that took place from September 1996 - March 2013. (17 years) Essentially, if you bought the S&P 500 in September 1996, and held until March 2009, you made no money (Not including dividends). What it also shows is a huge development that took place in 2013! The S&P 500 broke above the top part of that 17 year range! Since breaking out of that range, the S&P has nearly doubled.
Now let’s look at what caused this 17 year consolidation to take place in the S&P 500. (See chart below)
What this above chart shows is truly astonishing to see! It shows how the S&P 500 rallied more than 1400% in 18 years! (1982-2000) It’s also important to point out that the market saw numerous corrections along the way during that run! Most notably was the crash of 1987! Although, this kind of price appreciation is amazing, it’s not sustainable! This led to the 17 year wide range consolidation from 1996-2013!
Now, let’s have some fun with charts! How would a +1400% rally look like in today’s numbers? (See chart below):
Using 2009 as the low point, a +1400% rally would take the S&P to 10,000! Is it crazy to think that the S&P 500 could rally +1400% in the next few decades? Well, history shows that it’s been able to achieve that before…. Thank you for reading!
Disclaimer: Nothing in this blog should be taken as investment advice. You agree by reading this that any actions taken by reading this material is at the reader's discretion and the author (Robert Lesnicki) will not be held liable for any losses incurred. Any content in this blog is intended to be for entertainment/educational purposes only and is in no way a recommendation to buy or sell securities. Robert Lesnicki may hold positions in securities mentioned in this blog and may trade for his own account (s) based on the information presented. Stocks and options trading involves substantial risk of losses and is not suitable for every investor.
The “speculative portfolio” is made for entertainment/educational purposes only. Nothing in the “speculative portfolio” should be taken as investment advice. Securities mentioned in the “speculative portfolio" can lose value. Robert Lesnicki may hold positions in securities mentioned in the “speculative portfolio.” You agree that any trade/investment actions taken after reading information in the “speculative portfolio” is at the reader’s discretion and Robert Lesnicki will NOT be held liable for any losses incurred.
Most of the information on this blog is sourced from other websites. At times, the information provided may not be updated in a timely manner and may contain old or outdated information. The data may not be 100% accurate. It is up to the reader to verify and make sure that all information presented in this blog is whole and accurate. You agree, that by reading this, any actions taken based on information in this blog, is at the reader’s discretion and Robert Lesnicki will NOT be held liable for any losses incurred
DATA INFORMATION IS PROVIDED TO THE USERS “AS IS.”
NEITHER “Robert Lesnicki” , Robertlesnicki.com, NOR ITS AFFILIATES, NOR ANY THIRD PARTY DATA PROVIDER MAKE ANY EXPRESS OR IMPLIED WARRANTIES OF ANY KIND REGARDING THE DATA INFORMATION, INCLUDING, WITHOUT LIMITATION, ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.
This is NOT a trade recommendation. Robert Lesnicki is NOT, and DOES NOT claim to be a financial advisor. Please consult your financial advisor before making any investment decision. Securities mentioned in this post can lose value and essentially go to 0.