To The Moon

I do think this recent pullback looks more like a technical shakeout than the start of a deeper correction. After such a massive rally, markets were clearly overstretched, and some consolidation was overdue. The selling we saw felt driven more by positioning, dealer hedging flows, and sentiment rather than any real deterioration in fundamentals. So I agree with the view that this was largely a technical reset.

From my perspective, the underlying drivers for equities—AI spending, strong corporate earnings, resilient U.S. consumer demand, and the absence of any major macro shocks—haven't meaningfully changed. Because of that, I'm not reading this dip as a sign of structural weakness. Instead, it looks like the market simply needed to cool down after running too hot for too long. These kinds of shakeouts happen in every bull cycle, especially when indexes are pushing new highs.

Yes, I did buy the dip during this pullback. Since I view it as a temporary correction rather than a trend reversal, it made sense to add selectively. The short-term sentiment fear created better risk-reward entries for quality names. When fundamentals remain intact, I tend to treat these technical drops as opportunities rather than threats.

Whether the correction has "fully" ended is something only price action can confirm, but momentum is already stabilizing, and the lack of negative catalysts supports the idea that the worst is likely behind us. As long as earnings revisions stay positive and liquidity conditions don't tighten unexpectedly, the market should be able to regain its footing.

Heading into year-end, I do expect the S&P 500 $S&P 500(.SPX)$   to drift higher. Maybe not in a straight line, but I think the broader uptrend remains intact. With Barclays lifting its target to 7,400 and institutional desks turning constructive again, the backdrop supports a continued grind upward. This pullback feels more like a pause in the rally, not the end of it.

As a retail investor, I focus mainly on the US and Singapore markets, combining a mix of technical trading and long-term investing strategies. I enjoy analyzing charts, spotting patterns, and making calculated moves based on both market sentiment and fundamentals. While I'm not a professional, I treat my portfolio seriously and continue to learn and grow with each trade. If you're also navigating the markets and enjoy discussing stocks, options, or market trends, feel free to follow me. Let's learn and grow together as a community.

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