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Bear Market Rally Will Take S&P to 1350: Strategist

The Standard & Poor's 500 Index is in the middle of a summer rally that could see the index rise to 1350 before the overall bear-market trend takes it lower again, Robin Griffiths, technical strategist from Cazenove Capital, told CNBC Monday.

The S&P is currently undergoing a counter-trend rally, Griffiths said, which "began from massively oversold levels and was triggered by a slight pull-back in the price of oil and also the saving of Freddie and Fannie ."

A counter-trend rally usually has rise, then a small set-back and then another rise, Griffiths said. He said he expects the index is currently in the set-back phase, and he expects it could rise to 1350 before being finally being claimed by the bears some time at the end of the summer.

Griffiths expects the normal downtrend associated with a bear trend will resume in September or October as people return from the summer vacation season. He expects another big down leg in that period. (For the full interview see video above)

Investors looking to hedge against a further downturn in the S&P should by Proshare S&P Short ETF, according to Alpesh Patel, principal at Praefinium Group, because the exchange-traded fund inversely tracks the index's performance.

"For every percentage (point) that the S&P falls, the fund rises one percent. And that gives a lot of comfort to a lot of investors," Patel told "Worldwide Exchange." (For the full interview click here >>>).