Top Defensive And Offensive Trades For A Market On Edge
Say one thing about this bull market, it’s resilient. A tough start to the year has almost been forgotten, with stocks fighting to push higher. In fact, the Dow Transports (^DJT), a leading indicator of sorts for many in the market, just hit a new all-time high today.
Even with this resilience, veteran stockpicker and friend of Breakout Hugh Johnson of HJ Advisors isn’t taking anything to chance, as he’s seeing some other patterns forming that aren’t completely bullish.
“Look at the performance of the market recently,” he says in the attached clip, “the market’s themselves have become defensive, the best performing sector is utilities, you see large cap outperforming small cap stocks, we see value stocks outperforming growth stocks.”
Whipping out his playbook, here are his top plays to stay defensive, as well as a couple stable offensive trades, for investors to stay on top of this market.
Defense: Church & Dwight Co., Inc.(NYSE:CHD) and Unilever N.V. (ADR)(NYSE:UN)
Offense: United Technologies Corporation(NYSE:UTX) and Union Pacific Corporation(NYSE:UNP)
You can see the full “Breakout” segment below: