As shares seem to stage a bounce again, Wall Road has been hotly debating whether or not the market has really bottomed or if it is merely a bear market rally. Analysts from Goldman Sachs and Citi aren’t optimistic, telling CNBC that the rally could not final. “I feel … we’re not out of the woods but,” Caesar Maasry, head of rising markets cross-asset technique at Goldman Sachs, advised CNBC’s ” Squawk Field Asia ” on Tuesday. “We expect [the rally] could also be short-lived.” “We’re within the camp of considering that it was a bear market rally and the rationale for that’s actually coming off the lows once we have not had a recession,” Kristen Bitterly, head of North America investments at Citi International Wealth Administration, advised CNBC on Wednesday. “It’s not a recessionary setting,” she stated, referring to latest information on U.S. jobs and gross home product. After being in a bear marketplace for a lot of the primary half of this yr, U.S. shares rallied in July. The S & P 500 climbed for 3 straight weeks and hit its highest stage since early Could on Wednesday. So how ought to buyers place themselves throughout this time? Citi’s Bitterly says to anticipate extra volatility. ‘High quality’ tech areas “Pullbacks create alternatives, as does volatility,” Bitterly advised CNBC. “For these sitting on the sidelines, volatility creates alternatives to construct positions at excellent entry factors along with producing above market yield (to fight inflation).” She stated there are alternatives in some “high quality” tech areas, corresponding to cybersecurity. Traders should purchase such shares in the event that they drop to about 10% beneath what they’re at the moment buying and selling at, she stated. At that entry level, buyers may take pleasure in excessive single-digit or low double-digit yields, based on Bitterly. “These alternatives don’t exist in low volatility markets,” she advised CNBC. “We like utilizing volatility as a manner of constructing positions in our favourite long-term sectors and as a really efficient device to bridge the hole with options that work in each situations of resilience versus recession,” Bitterly stated. ‘Boring is greatest’ Bitterly stated it is not merely a matter of going for “progress over worth,” and “not an all or none” state of affairs in the case of tech shares. Progress shares, corresponding to tech, have misplaced favor amongst buyers for a lot of this yr as they rotated into worth shares on macro dangers. Nevertheless, progress shares have bounced again through the latest rally. She added that having balanced publicity and going into high quality shares on this market is essential. High quality corporations could be outlined as having steady efficiency — sturdy steadiness sheets, modest debt, and resilient profitability. “We’re centered on areas of the market the place you are seeing constant earnings progress, very sturdy management, sturdy steadiness sheets, and the power to really stand up to what we may see as continued tightening monetary circumstances,” Bitterly advised CNBC. ” Boring is greatest and hypergrowth, unprofitable, extremely levered corporations will create some challenges,” she added. Inventory picks Citi, in a separate notice in early August, stated buyers ought to have a concentrate on beaten-up names , because it expects a “fragile threat rally.” It stated these oversold names can allow buyers to journey out the volatility: Meta , Disney , Amazon , Goal and Autodesk.