Among reasons for a pullback, Detrick noted that February historically has been the worst month for stocks. He also added that small-cap stocks in the past have been a leading indicator of overall market performance.
“Small caps led us on the way up…and [they were] down 4 percent last week, so this is a chink in the armor. "
"But nothing major," Detrick added.
He said he then expects a 12- to 15-percent rally after the market goes through its correction cycle.
In the meantime, Arbeter said he sees the S&P 500 declining to a range of 1,160 to 1,200.
“I look at a broad spectrum of sentiment indicators and they’re all tilted very strongly toward the bullish camp…we’ve had a strong run since July, so the market needs a break here,” he said.
Arbeter recommended investors use the pullback as a buying opportunity.
“Gold and silverare going to pull back hard and that creates a great opportunity,” he suggested. “And we’ll probably make new highs in the overall indices sometime later this year.”
Scorecard—What They Said:
- Arbeter's Previous Appearance on CNBC (Nov. 16, 2010)
- Detrick's Previous Appearance on CNBC (Jan. 14, 2011)
More Market Analysis & Opinion:
CNBC Data Pages:
Tuesday's Top Dow Laggards (as of this writing):
Johnson & Johnson
Bank of America
No immediate information was available for Arbeter or Detrick.