At 62months and counting, the S&P 500 index is thisclose to its longest bull run since 1994 to 2000. Should it continue rallying for just two months more, it will be the longest bull market run in over 85 years.
According to Ari Wald, head of technical analysis at Oppenheimer & Co., there may be some near- and intermediate-term downside, though he doesn't recommend trying to time corrections. Instead, he sees five reasons to have a bullish long-term view on the S&P 500:
1. A secular breakout above its 2000 to 2013 price range.
2. An accommodative Federal Reserve policy.
3. Attractive stock valuations compared to bonds.
4. Cyclical sectors have stronger trends than defensive sectors.
5. Continued growth in the U.S. economy.
"When you consider that we're just getting above levels from 13 years ago," said Wald, "we think this is a much stronger structure that makes the case for higher highs and higher lows over the coming years."
Charting 10-year rates of return for the S&P 500 going back to the 1930s, Wald notes this interesting fact: "It's inflecting positively after hitting negative territory for the first time since the 1970s," he said. "So, if anyone wants to make comparisons to 2000 or 2007, to us, this is the real big difference."
Gina Sanchez, founder of Chantico Global is not as optimistic as Wald.
"I don't think we're going to make it," said Sanchez, a CNBC contributor. "What's been fueling this rally [is] actually fairly similar to what was fueling the 2000 rally.
Sanchez sees another market bubble caused by global accommodative policies by central banks, including the U.S. Federal Reserve Bank. In the past, that had led to a housing bubble but is now creating a tech and credit bubble, she said.
"Those things are unsustainable," Sanchez said. "The end of this is going to be probably a bit nasty. I actually don't think we're going to make that 64-month mark. I just don't."
Wald disagrees with Sanchez and thinks there's a limit to the market's downside. "Valuations to bonds, though, are much more compelling," he said. "There's a floor for stocks. And, really with nowhere else to go with your money, I think stocks continue to move higher."
To see the full discussion on the S&P 500, with Wald on the technicals and Sanchez on the fundamentals, watch the above video.