Stocks in the Spolitght Stocks to watch

The markets, in my opinion, are still quite bullish simply because of new all-time highs on the Dow Jones industrial, the S&P 500, the S&P 100 and the NASDAQ. These four indices cover a wide range of the largest stocks trading on the market and setting new all time highs is telling us investors are still believing in the future.

I'm still quite bullish as across the country businesses and factories are starting to reopen. Since it is almost impossible for our businesses to stay closed it would make sense that no matter what the Democrats say businesses are going to continue to open back up. It's called survival!

Sorry! I have been in this business for 40 years I have never seen so many negative views of the greatest economy in the world. It makes it hard for me to choose because in a couple of months I'm not sure what kind of a world we will be living in. We can either be destroyed by the Chinese virus, or by the stupid Democrats in Washington DC. If backed in a corner I would pick the virus offers the least danger.

The week finished with only 2 indices in correction territory, the Dow Jones 30 and the New York, which means one narrow market and one extremely large market, with both cater to the blue-chip markets.

The DOW 30 stocks that keeps setting new highs are Home Depot, Apple, Microsoft, Nike, Proctor & Gamble & Wal-Mart. These were the only 52-week highs out of the whole 30 over the last couple of weeks. This is telling us fixing things at home seem to be leading the way, along with disinfectants and cleaning supplies that you'll find from P&G.

A good example, when searching for a new stock purchase, would be the stocks on this page, as almost all of them have moved up quite well, although there are still many that still have room to climb. Also, there are no bad stocks on this page as every one of them have worked quite well.

The recent move from my newest stock, cbdMD (see below recommendation) moved from a low near 0.50 to over three dollars before backing off and closing at 2.38 today, approximately 3 months.

This is the main reason to visit this page weekly.
I introduce new picks on this page first and you heard about this stock here first.

I would continue to buy on positive economic news sticking with the recent movers as long as they have not moved too much already. A good example would be AMD as in mid-March it touched a little under $39 then moved to $85 this past week. Nice move, but too high to buy and not high enough yet to consider selling..

As far as markets go I feel we have already found the bottom and that was on 3/18/20 and I see little reason to go back down to test those levels, until the election.

If we want to get in the market today we want to look at the trusted in true stocks such as Apple Computer (4 for 1 split), Walmart, Intel Corp., AMD (new high) and others that hopefully have fallen back enough to put them in a buy area.

The price of gold had been bouncing higher recently moving over the $2000 per ounce level, but up and down over the last 4 weeks. I still don't feel metals are a safe place to be, especially after the big moves up in the last couple of years, although since the trend is higher holding might still be the better bet.

Since I am a technician first, the fundamentals will always take a backseat while the trend will stay in the front. Due to the recent giant rally in the market and a virus problem that promises to continue for some time to come we can't count on the recent trend of any individual stock, meaning research and homework is needed to find the winners.

My long-term pick, a stock that could be held for the next 20 years, would be Apple Inc., although the stock climbed over the $300 mark before dropping under $230 a share before moving back up over $499. It's the kind of company that won't stop growing. They've got a lot of money and are very creative. The 4 for 1 stock split this past week makes the new price under $125 for a share.

My near-term pick, is a stock that hasn't been trading that long and was there the 52-week low but has been climbing daily. The name of the stock cbdMD. Inc., It trades on the NASDAQ and the symbol is YCBD. The current price is about a $2.38 and the 52 week low is $ 0.50, with the 52 week high just under six dollars. The company recently announced the completion of an $18 million secondary offering at one dollar. The stock is off the lows and climbing strong, making anything lower from here is a buyers dream.

I say jump on this stock right now! I will bring more of this company to you soon but
don't wait for me with 18 million new dollars the stock could easily climb over
the previous $7.24 high,. a hell of a move from here.

I'm betting that the OTC stocks will outperform the blue chips on the upside but once the virus is behind us the big OTC stocks will rule. I believe we were finally starting to see major benefits from corporate tax breaks and this should continue once things get back to more normal.

Looking at the chart above we can see at the beginning of 2020 the current discount to the 52-week high was at -6.78%. The discount moved between -7 to -11% until moving from a -10% to a -21% in only 7 days (2/28/20.) From that point on the markets fell quite hard all the way down to a discount of -41.53%, reached on 3/23/20, before working its way back up to a high of -14.69% on 6/8/20 but after selling off and settling at -14.72% where it is today. Remember this is the average of all 30 Dow Industrial stocks.

The DOW 30 is -405.15 (-1.42%) on the year and -1418.11 (-4.80%) from the 52 week high (correction territory).

Another stock I like his Walmart (WMT) $142.49, because it has become much more aggressive and it seems to be attacking Amazon. No matter how big Amazon is, Walmart is in a position to not only catch Amazon, but if they're smart they can overtake it. This is because each and every store is a warehouse making it possible to deliver things to you in just a few hours from the time you order, either online or on the phone. The share price has been climbing daily.

Wishing you the best! JR