Simple Trading The Motley Fool’s “8 Top Stocks To Buy In June”

The Motley Fool just published a new list of “Top Stocks To Buy In June” produced by some of their contributors.  Some look good… others not so much.

  • DIS – Disney has been featured in these digital pages before here (May 2013) and here (October 2013)… I think it’s once again a bit stretched for a prudent entry, but have no objection to the long bias.  Buy.

DIS W As of 2 June 2015

  • WFM – Whole Foods I’ve also written about several times here, here, here, here and here… It looks as though the stock is once again testing long-term support.  Failure looks imminent, so purchasing the stock here doesn’t look like a great idea.  Sell.

WFM W As of 2 June 2015 Close

  • FTR – At first glance, FTR here appears to have pulled back to an interesting support level.  However, a look at a much longer time period shows that FTR is in an enormous structural down trend.  Sell.

FTR W As of 2 June 2015

  • INTC – Intel is a toss up here.  The stock bounced nicely off the $29.00 area and crossed up through the Value Zone.  Additionally, that $29 support area is the former resistance area from 2012.  Price is not doing very well so far this week against the resistance area around $35.  The jury is still out on the company’s transition to a player in the Internet of Things arms race, but I expect the stock to reflect ongoing improving prospects.  Buy.

INTC W As of 2 June 2015

  • LNKD — I don’t have a strong opinion about LinkedIn, its recent move south notwithstanding.  Its position below the Value Zone would prevent me from buying the stock.  Sell.

LNKD W As of 2 June 2015

  • KORS — The stock dropped right to support last week and is trying to bounce.  Despite the contributor’s confusion “…even though worries about the company’s future are warranted, Kors’ valuation has become quite attractive, creating at least some margin of safety even against future declines..” (not sure valuation is ever attractive when worries about a company’s future are warranted).  I’m thinking the stock has more work to do to the downside.  Sell.

KORS W As of 2 June 2015

  • AMCX – Stock just breached a new all time high.  No reason to think it will stop anytime soon.  Buy.

AMCX W As of 2 June 2015

  • DSW – No real opinion here.  Gun to my head, I would wait for a clear break out of the Value Zone and go with… Neutral.

DSW W As of 2 June 2015

Obviously, all my opinions the value of which you have to decide for yourself.  Whatever your conclusion, mind your risk above all else and you should be fine.

Hope it helps.


The Trader