3 STOCKS I SAW ON TV (APC, AMZN, TMO) (April 30, 2016)
APC XOIL.X APC AMZN CVS AMZN TMO
Every night we watch the same shows, Fast Money and Mad Money; and we want to use those ideas to grow our money. Well good trading takes more then just pushing the buy button, every morning, about a stock that you saw on TV last night. Come on, you’ve got to be a little more robust than that. I’m here to help you make money on these 3 stocks I saw on TV.
We’re starting with Anadarko Petroleum ( NYSE:APC ). Cramer was talking about this on Mad Money on Friday. First of all he thinks oil goes higher. He thinks it can go to like 50.00 a barrel. Lets look at that chart real quick ( XOIL.X ),I agree, I don’t really pick a price target per se, but I will tell you this, this is where the last high was last year on this on this little rally, $50.00. Seems like a pretty nice round number to me. I think if the stock moves up another 10 percent, gets up there, that would be a good time for folks to start selling. So I’m really looking at this as less of a price target and more of a point of resistance where we’re probably going to see some selling. But Cramer thinks that a company like Anadarko Petroleum ( NYSE:APC ), which reports on Monday, he thinks that they’re an acquisition target, that they should actually be bought by one of the majors. So he really wants to hear what they’re saying in the earnings call.
What I would suggest is this: Energy is going higher, this stock is going higher. I think you can take a position now. Build a position a little bit at this level. If the stock happens to pullback because earnings are not as good as folks thought, buy some more. There’s nothing wrong with this. Remember when oil fell because a bunch of Kuwaities were kind of ticked off and they struck over in, guess where that was? In Kuwait. Well that lasted for about three days and then oil is higher. My point is, even if earnings are poor, look at that as an opportunity to buy. I think you’ll do well with Anadarko Petroleum ( NYSE:APC ) here.
Now Amazon ( NASDAQ:AMZN ). They reported blowout numbers on Thursday night. The stock gapped up and for the most part kind of held the gap. Cramer wants to see what CVS ( NYSE:CVS ) has to say, and I’m not really looking at CVS ( NYSE:CVS ) right now, we can look at the chart, but it’s so ambiguous. What are you going to say? Buy it now because it’s going to move higher. Or short it now because it’s going to break down. I don’t know. That’s why Cramer just wants to see what CVS ( NYSE:CVS ) has to say, because the deal is with Amazon ( NASDAQ:AMZN ) basically cleaning everybody’s clock, is retail just dead? And everybody is just buying stuff on Amazon ( NASDAQ:AMZN )? I know I am, though I have a personal ban on buying stuff on Amazon ( NASDAQ:AMZN ) in the month of May, just so you know. And that’s actually true. So Cramer is looking at CVS ( NYSE:CVS ). I’m looking at Amazon ( NASDAQ:AMZN ) here. I think 680.00 is a key level.
Ultimately I think this stock moves higher, but it’s got some work to do. If I were you, I would be looking to maybe buy Amazon ( NASDAQ:AMZN ) on any kind of weakness. But as a general rule you don’t want to buy a stock after it’s moved up so much only to find itself right below this recent resistance here. So this is a key, key level here. Trust me, here’s one thing that Amazon ( NASDAQ:AMZN ) is not going to do: Not going to do that. You’re going to see this drift around for a while. You’ve got plenty of time to buy Amazon ( NASDAQ:AMZN ). The fundamentals don’t help you. The stock is wildly expensive yet it keeps going higher so you can’t really use the fundamentals to justify shorting the stock because the chart’s killing you. You can’t use the fundamentals to justify buying the stock because it’s way too expensive. So instead you trade support and resistance. Boom! That’s your resistance. Stay away until that level is breached.
Then lastly, Thermo Fisher ( NYSE:TMO ), it was downgraded I think it was by Jefferies on Friday. Cramer thinks this is a stock that you buy. I mean basically he just pounded the table and said buy this on any kind of weakness. We look at the chart, I think you can be patient in buying this on any kind of weakness. I would agree because that’s just the way the chart looks here. Uptrend, generally speaking there’s support right there. Give it a few months, the way this pattern is working you’ll probably be able to buy it on a little bit of weakness.
3 Stocks I Saw on TV Free Chart