3 Stocks to Buy That Are Market Leaders and Aren’t Apple Stock


It’s time investors get in-tune with buying a bear market low that has fast become a meaningful bottom. One way to align your portfolio towards that end is with three of the following stocks to buy. These stocks have little to do with market capitalization and everything to do with future growth and technical leadership in today’s and tomorrow’s stock market. Let me explain.

Not to take the wind out of the sails of Apple (NASDAQ:AAPL), Microsoft (NASDAQ:MSFT) or Amazon (NASDAQ:AMZN). The tech giants are the market’s three largest capitalization companies with valuations, even after 2020’s bearish cycle, on either side of $1 trillion. That’s significant to say the least.

Apple, Microsoft, and Amazon shares are also important because they happen to influence broader averages like the S&P 500, NASDAQ Composite and Dow Jones Industrial Average almost on a daily basis. The thing is, each of these mega-cap stocks are blue-chips that make a habit of moving. Still, there’s more to successfully tracking and investing in the market.

On the heels of last week’s questionable but historically critical follow-through day in the S&P 500, and this past Monday’s technically supportive higher volume rally, it’s time to consider up-and-coming stocks. Three stocks to buy that not only influence, but are more likely to lead the market higher, include:

  • Advanced Micro Devices (NASDAQ:AMD)
  • JD.com (NASDAQ:JD)
  • Zscaler (NASDAQ:ZS)

Bearing that in mind, let’s take a look at these three companies demonstrating the right stuff off and on the price chart during the novel coronavirus-driven correction.

Stocks to Buy: Advanced Micro Devices (AMD)


Source: Charts by TradingView

Semiconductor outfit Advanced Micro Devices (NASDAQ:AMD) is the first of our market leaders to buy. AMD stock of course barely requires an introduction. Shares have been on a tear the past couple years on the back of well-received chip and processor roll-outs. That has given the likes of Intel (NASDAQ:INTC) and Nvidia (NASDAQ:NVDA) a run for their money. And there should be more to come for this growing $55 billion market cap as a new bull market emerges.

Technically and based on Advanced Micro Devices’ overall durability through the bearish market correction, there are now more reasons to believe AMD stock’s leadership and rally on the price chart aren’t finished.

A 37% decline from February’s all-time high and bearish topping candle has been countered by a bullish hammer candlestick formed in AMD stock during March. In of itself, it’s a technical breath of fresh air. But it gets better.

Bullishly, the pattern has developed around the stock’s former high. What’s more, shares of this market leader held their longer-term uptrend while finding support off the 38% retracement level tied to 2015’s all but written-off low. Case closed!

JD.com (JD)


Source: Charts by TradingView

JD.com (NASDAQ:JD) is the next of our market leaders to buy. Despite the trade war of the past couple years and coronavirus, China’s ‘other’ Amazon and second to behemoth Alibaba (NYSE:BABA), has managed to demonstrate enviable resiliency in its business. The wherewithal has trickled down into top-notch fundamentals that are in gear to continue into the future, according to UBS following last month’s earnings beat.

On the JD stock chart this market leader to buy also has a lot going for it.

Late last year shares of JD.com put together a solid bullish pattern-busting breakout from a head and shoulders monthly chart formation. Now the initial rally has been confirmed by March’s successful hammer test of the pattern’s right shoulder. To say the least, the bullish price action has been reaffirmed in a big way.

Conservatively and based on the size of the broken head and shoulders formation in JD stock, I’d estimate a rally to $60 by the end of 2020 looks very possible in this market leader to buy.

Zscaler (ZS)


Source: Charts by TradingView

The last of our market leaders to buy is Zscaler (NASDAQ:ZS). Of our stocks to make today’s radar, ZS stock is probably the most unfamiliar. But make no mistake, this $8.19 billion cloud-based cybersecurity firm is a big deal worth knowing.

The company’s Zscaler Private Access (ZPA) product is a replacement for Virtual Private Networks (VPNs). Moreover, since the start of the year, the company’s global traffic has surged more than three-fold and led by 1,200% increase from China. And that sounds like huge news for this $8.2 billion market cap with existing double-digit sales growth.

Technically, Zscaler’s good fortunes are being appreciated by investors. After a lengthy bearish phase, shares of this market leader have rallied strongly off a bullish double bottom to challenge the 50% retracement level of the corrective base. But don’t think for a second you’re too late to the party.

Bottom-line, with the broader market now showing sure signs of life, ZS stock is the type of newer growth worth getting acquainted with. And with Zscaler leading the averages higher the past couple weeks and its larger correction supportive of a new bullish phase for shares, a pattern breakout above resistance in the days ahead bodes well for the company in the weeks and months beyond Covid-19.

Investment accounts under Christopher Tyler’s management do not own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler’s observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits.





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