Stock Trends

What's working?

Good morning,

One of Warren Buffett's most famous quotes is: “Only when the tide goes out do you learn who has been swimming naked.”

Obviously, we aren’t as concerned with company fundamentals as Uncle Warren but I think the same principles apply to technicals in a correction.

Sure, some stocks will go down less than the index and that’s technically relative strength. But what really stands out is when a stock is outright moving higher in the midst of a market panic.

Today, I’ll highlight four stocks that have made 52-week highs this week, demonstrating not just relative strength, but the potential for absolute gains.

We’ll also review:

• Important growth stocks

• Equities on the BTI Blue Chip Hot List

• and more!

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4 stocks making 52-week highs this week

AEM: Agnico Eagle Mines

We’ve looked at AEM a lot this year and the stock hit a new all-time high yesterday. This is a big base breakout and one thing I like (and highlighted in Tuesday’s Overtime report) is that even though inflows into gold ETFs have spiked, the gold miners are outright hated.

CME: CME Group

Volatility is good for business at CME and the stock is trying to break out of a 3-year base this week. The stock pulled back to the breakout point and 21-DMA yesterday, potentially offering an attractive entry point.

CNP: Centerpoint Energy

CNP broke out from a 2-year downtrend line back in November and hasn’t looked back. I like this relative leader long against the $33 level.

COR: Cencora

COR was highlighted as a stock on my watch list (that just missed the Blue Chip Hot List) last week and the stock still acts well. It hit a 52-week high on Tuesday but has pulled back since. $238 would be my stop.

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Important growth stock charts

Tesla’s 3-month decline is extreme