I encountered a novel technical argument claiming the bull market will resume after this correction. You can read the article by Adam Hamilton here: http://www.zealllc.com/2010/spxlives.htm
He argues: 1) the rally from the March low easily qualifies as a cyclical bull market rather than just a bounce, 2) In modern history, cyclical bull markets (even within secular bears) have always lasted at least two years. 3) Therefore, the bull must live!
I do not find this argument particularly compelling, but would be interested in others' view. I am curious whether it is factually true. At what point does a "bounce" become a "bull market"? Were there any cyclical bull markets during the depression era which lasted less than two years?
It seems to me that the percentage gain of our recent bull market may compensate for its youth. Live fast, die young!