Expect S&P to Hit 1250-1300 by Year-End: Kotok

Stocks opened higher Wednesday after a pair of reports offered some encouragement on the struggling job market. Should investors focus fundamentals or technicals? Scott Redler, chief strategic officer at T3live.com, and David Kotok, chairman and chief investment officer at Cumberland Advisors and CNBC contributor, discussed their insights.

Fundamentals Vs. Technicals
Fundamentals Vs. Technicals   

“We love the markets—we’re fully invested,” Kotok told CNBC. “We like the fundamental picture very much.”

Kotok said he favors the technology, biotechnology and the transport sectors.

“We think this is a very good bull market and our target is 1,250 to 1,300 [on the S&P 500] within the year,” he continued.

Redler's View:

In the meantime, Redler said people who have been following the technicals of the market have been making profits.

“During this entire rally, you’ve had the calculated pull-ins, you’ve had leadership and rotation,” he said. “Volume’s been a little light, but we’re not in a perfect market right now.”

Redler said he expects markets to rise further, led by technology stocks such as Apple , IBM and Intel .

“If we can hold the 1,150 area [on the S&P 500], which we are, we can take out 1,127,” Redler said. “Next area that we think will post some resistance is around 1,140 to 1,150.”

Scorecard—What They Said:

  • Kotok's Previous Appearance on CNBC (Aug. 2, 2010)
  • Redler's Previous Appearance on CNBC (Jul. 29, 2010)

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Disclosures:

No immediate information was available for Kotok or Redler.

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