The S&P 500 is likely to hit another speed bump before staging a strong rally into the end of the year, the chief technical strategist at BTIG told CNBC on Monday.
"I think we have one more downdraft in store in the days ahead. And I say that because short-term momentum is weak and certainly short-term breadth is weak," Katie Stockton said on "Squawk Box," referring to overall participation in the market.
When she was on the program late last month, Stockton had predicted about a 3 percent pullback with "initial support" for the S&P at around about 2,485.
Since then, the S&P never got that low, but it did get pretty close before spiking to all-time highs of nearly 2,600 on Nov. 7. But after hitting a record, the index dropped nearly three-quarters of a percent as of Friday's close of 2,578.
Stockton said Monday on CNBC, "Support is around 2,530. It's just about 50 points below."
But in the long term, she said: "It's undeniably a resilient tape. We have buying interest there. I think a bullish bias is definitely appropriate.
While calling for "one more downdraft," the BTIG analyst said she's sticking with her year-end S&P price target of 2,640.
Based on Friday's close, such a move would represent a nearly 2.5 percent increase, which would make for gains of about 17 percent for 2017 and more than 23 percent since Election Day 2016.