Highly successful indicator predicts 18% rally

Traders work on the floor of the New York Stock Exchange.
Getty Images

After stocks go through a correction, pundits dust off old Wall Street market indicators to try to game a bottom. Things like "Dow Theory" and "death cross."

Well here's one more for you.

Bank of America Merrill Lynch's "Sell Side Indicator" predicts the will rally 18 percent over the next 12 months, according a report sent to clients Thursday.

More In Investing

CNBC ProMicrocap stock mania to start 2021 is a signal of more gains, and potential danger, ahead
CNBC ProMike Santoli’s market notes: Small caps hit, supply of stocks grows, 'trading sardines'
CNBC ProClean energy had a record year — here are Morgan Stanley's picks going forward