What the Pros Say: A 6-Day Recovery Rally for the S&P

Asian markets ended the week mixed Friday, while European markets opened higher after two days of selloffs. CNBC's experts say sit tight and wait -- maybe a long time -- for a stock comeback.

A Rally for the S&P?

"Yesterday was a little bit scary," Bill McLaren, independent trader, said of the S&P 500 index selloff on Thursday. He predicts a 6-day recovery rally for the index, although he warns that it could continue lower to 767.

On Their Way Up

At current levels it's not a good move to sell right now, Lorraine Tan, vice president of Asia equity research at Standard & Poor's said. Stocks should see some improvement late next year, Tan said.

More Bad News to Come

Paul Mortimer-Lee, global head of market economics at BNP Paribas thinks that we will hit the bottom of the economic cycle around the third-quarter of 2009. He tells CNBC that this is when global growth is expected to show its worst on year decline.

Euro at $1.07 in '09

The euro could fall as low as $1.07 against the greenback by early next year, predicts Paul Mortimer-Lee, global head of market economics at BNP Paribas.

Sterling Has Lower to Fall

"The trend of US dollar strength that we've seen against most of the major currencies, with the exception of the Japanese yen, is likely to continue," Ben Pedley, investment strategist at LGT Investment Management, said. "The markets are now wrestling with the issue are interest rates cuts good for the domestic currency?"

Pedley sees the pound weakening further against the U.S. currency to $1.50 or below by the end of the year.

Buy US Big Caps

If you want to avoid risk, you shouldn't be investing in the US market right now, Robert Pavlik, CIO at Oaktree Asset Management said.

Pavlik suggests die-hard investors buy health care stocks, like Johnson & Johnson and Celgene, and consumer staples stocks, like Procter & Gamble and Colgate-Palmolive.

For long-term investors, big caps like Exxon, Bank of America, Citigroup, IBM, Hewlett Packard and Apple, are good buys, Pavlik said.