Trading range, consolidation, pull-back to 200 day support line are all possibilities to look forward to in the near term. The market tends toward risk-on with good news about fundamentals such as the ADP hiring report this Wednesday. By contrast, political uncertainty “noise” has a strong, or even stronger, negative effect pushing investors into the risk-off mode very quickly. Strategy: Buy on any strong or significant dips. The long-run upward trend continues to dominate. Thus, you can ride out any dips or sell-offs if you are holding really good stocks. Week 1 buys for April 2017 are: AMZN, FB, GRFS, MOMO, OLBK, and NOW. I’d buy Amazon (AMZN) or Facebook (FB) now and wait for a pull-back to buy the others. Good Investing!
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Stock picks for the week of April 10 – 14 are: ILG, APO, CHI, LAZ, OSUR, TLND, DLR, and SHOP. ILG, APO, CHI, LAZ, and DLR all pay dividends. Dividend growth stocks (i.e., you reinvest the dividends) are ILG, LAZ, and DLR. The immediate income monthly dividend payer is CHI.
If you are a small scale investor and want to buy and hold a few good growth and dividend stocks, I’d recommend any of the following: ILG, APO, LAZ, TLND, DLR, OSUR, and SHOP. Since today is a risk-off day (stock selling) you could also pick up a few shares of the growth stocks FB and BRK-B and expect to hold those indefinitely. Of course, if you want only dividend paying growth stocks, ILG, APO, LAZ and DLR are good choices. For growth stocks only: SHOP, FB, OSUR, and BRK-B would be my focus. Some earlier picks that are also good growth stocks are MOMO, WB, BABA, and BA. BA also pays a dividend.
If you buy only a few shares of each stock you will not be tempted to sell or re-balance your portfolio as much which will save on commission costs. However, buying small amounts of many stocks will increase commission costs and extend the time required before you break-even (i.e., start to have unrealized capital gains). Good Investing!
Stock picks for the week of April 17 – 21: Growth stocks without dividends are EEFT, VEET, SGEN, CGNX, and IBP. Growth and dividend stocks are ICE, MAIN, and WPC. ICE is stronger on growth while MAIN and WPC are stronger on dividends. Geopolitical risks suggest owning some gold, which has been on an upward trend lately. On the other hand, the basis for long-term investing is strength in the underlying economy and business earnings, which are strong and on upward trajectories as well. Good Investing!
Stock picks to consider for the last week of April (24 – 28) are: 1) the dividend paying growth stocks APTS and DLR, 2) Growth stocks NOW, JD, and OOMA, and 3) Primarily dividend payers GLAD, GAIN, PFLT, and OHI. Good Investing!