For stocks, it looks like 1995 all over again: Technical analyst

History may be pointing to substantial gains ahead for the market, according to technical analyst Chris Verrone of Strategas Research Partners.

Specifically, Verrone says that 1995, a great year for the bulls, presents a salient example of what may be to come for stocks.

Back in 1995, the S&P 500 broke out of a yearlong period of consolidation to rise substantially; the market then entered another low-volatility period "before the trend ultimately resumed higher," Verrone wrote in a recent note to clients.

By the time everything was said and done, the S&P rose 34 percent in 1995. As Montell Jordan sang in his hit song from that year, "This is How We Do It."

Verrone does not think the market is due for quite that type of rally, but he does draw something from the comparison.

"Never short a dull market, as they say, and that was certainly the lesson in '95," Verrone said Wednesday on CNBC's "Trading Nation." "You reaccelerated after that collapse in volatility, and the market went on to new highs over the course of the year."

"I certainly think that paradigm holds some relevance in the current backdrop," he added, referring to the decline in volatility and the mellowing price action after the market's break to all-time highs.

Larry McDonald, a strategist with ACG Analytics grants that "1995 is an interesting comparison," but wrote in an email to CNBC that "GDP and the domestic economy were much stronger in '95."

"Since 2013, if you shorted a dull market above 2,100 [on the S&P] you made money," he said Wednesday on "Trading Nation." "I think the playbook that works is sitting in the boat and waiting for fear."


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