Start the conversation
Comment on This Story
Or to contact Money Morning Customer Service, click here.
Stocks surged to close the week higher as investors think the worst of coronavirus is behind us.
That's even after the U.S. unemployment rate soared to 14.7%, the worst since the Great Depression.
Here's what our experts - Chris Johnson, D.R. Barton, Jr., and Shah Gilani - saw in the markets today.
And how they think investors should be positioning themselves heading into next week...
- Chris is bullish on JD.Com Inc. (NASDAQ: JD), currently trading for $46.
- He called it the "perfect stock" to hold in your portfolio from 2020 to 2021.
- Now is a good time to buy because earlier this week, JD bounced of its 50-day moving average with significant volume. This is a great technical indicator that signals investors are confident the stock will likely jump higher in the near term.
- Chris has a $55 price target on JD and thinks a covered call strategy could add an extra 5% to 6% to your total returns with the premiums you collect from selling the calls on your long position.
- Chris is bearish on Boeing Co. (NYSE: BA), currently trading for $132.
- The economy has a direct target on Boeing's back, and travel could be permanently affected with the proposed new air safety guidelines.
- If the stock drops below key technical support at the $120 level, Chris thinks it will quickly run below $100.
- Stay away from this stock, and don't even try trading it, because the government could bail it out indefinitely.
D.R. Barton, Jr. (1:30 p.m. EDT)
- D.R. is bullish on:
- Blackstone Group Inc. (NYSE: BX), currently trading for $52. Technical indicators show the stock is on the path to break $60.
- Chimera Investment Corp. (NYSE: CIM), currently trading for $8. D.R. thinks the stock could top $10 in the next couple weeks.
- Home Depot Inc. (NYSE: HD), currently trading for $233. D.R. thinks the stock could reach new all-time highs (above $247) as people look to renovate their homes themselves to save money.
- D.R. is bearish on:
- All of the cruise line stocks. He thinks they're the No. 1 most at risk industry in the world. They're not essential, and people know they're extremely risky to go on during a pandemic.
- Retail shopping companies like Kohl's Corp. (NYSE: KSS) because we don't know when they'll open again. And with unemployment increasing at a record pace, he thinks consumers will spend on more important things like food first.
- Shah thinks stocks are clearly decoupling from the economy. But he doesn't think the worst is behind us...
- Unemployment will likely continue to rise. And it and could even double - to 30% - according to Shah.
- Shah is worried that futures are pricing in the possibility of negative interest rates here in the United States for the first time ever.
- That could cause the prices of gold and Bitcoin to continue soaring.
- Shah thinks investors would be wise to hold cash here and be patient before putting any money to work.
Catch us Monday - starting LIVE again at 8:45 a.m. EDT with Chris Johnson, right here.
If you missed our live streams today, you can now replay them on our YouTube channel here.
Got a question you want our experts to cover? Send us a note.
Learn How to Harness This Powerful Options Trading Secret for Yourself
Live from his private office in Florida, America's No. 1 Pattern Trader is revealing his most lucrative options trading secret yet.
It's the reason he's able to make such fast, profitable moves on companies like Netflix, Apple, Facebook, even Amazon - the reason he's able to see major paydays long before they happen.
We're talking about the potential to see the future of any stock on the market.
And Tom Gentile's going live to show you exactly how to do it.
Believe it or not, it's as easy as a few simple clicks of your mouse...
In no time at all, you could be lining up trade opportunities one by one and watching as your account grows bigger and bigger.
