Stock market outlook: 3 indicators say 30% S&P 500 rally not stretched

Tom Lee acknowledged that a typical 5% pullback is possible, he argued in a Friday note that any such decline would be a buyable dip and that the stock market isn't as stretched as some think.

Those catalysts include the upcoming Federal Reserve meeting on July 26, which could see the last rate hike of this cycle. Additionally, Lee is looking to the July 28 release of personal consumption expenditures price data, which should mirrorFinally, Lee expects the July CPI report, scheduled to be released on August 10, to show continued disinflationary pressures.

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