An 'undefeated' bullish market signal triggered recently bodes well for the long term

A view of the charging Bull with a woman in New York City USA during coronavirus pandemic on April 25, 2020.
John Nacion | NurPhoto | Getty Images

While stocks are pulling back a bit recently, the comeback from the March lows triggered a bullish market signal that typically means share prices will be higher one year from now.

Legendary investor Stanley Druckenmiller told CNBC's "Squawk Box" on Monday the market experienced a "breadth thrust" early last week. The Wall Street term refers to the number of advancing stocks at the New York Stock Exchange or the S&P 500 outpacing decliners by 2-1 over a 10-day period.