2021
My Top Stock Picks + 2021 PredictionsHappy New Years everybody! I hope everyone has taken some much-needed time off and enjoyed the long weekend just as much as I did! (aka wine and food lol!)
To kick off the new year I've compiled a list of my top stock picks along with my 2021 S&P 500 predictions. I took all weekend researching all of these companies and will update them periodically. For the sake of time I will not discuss each of these companies individually, but rather my general criteria for evaluating stocks. If you would like an in-depth analysis of any of these companies let me know!!
This week & this month:
My game plan is to continue playing options for this week and maybe the entire month of January if volatility persists. I want to know the results of the Georgia runoff to gauge which stocks I'll add and which ones I'll keep an eye on for a dip before adding. In addition, I'm keeping an eye on China to see how they will retaliate to the delisting of three telecommunications companies from the NYSE. Finally, I want to see progress towards the $2000 cheques on Capitol Hill, will the Grim Reaper block the vote again?
My top stock picks of 2021:
As stated above, I will not discuss each company, instead I will talk about my criteria. The following is a criteria I use to evaluate companies before making any investing choices. My top picks
- Growth: Is the company growing faster than its peers? Are earnings expected to keep growing?
- Innovation: Is the company still innovating and/or creating new products/income streams?
- Momentum: Is the stock price in an uptrend? Is it about to breakout of a pattern?
- Risk: What are the risks involved with owning this company? Does the growth prospect overshadow this risk?
- Future Implications: How will this company make a difference in the future? Is this technology/business model still in its adolescence?
- Leadership: Are they a leader or laggard in their industry?
- Differentiation: Is this company different from the rest? How is this company different? Is this difference enough to shield it from the competition?
- Profitability: Is this company currently profitable or expected to be vastly profitable in the near future? Are they on the right track to profitability? How safe is this/are these income stream(s)?
Almost every company on the list is strong in each of these categories, with the exception of IIPR which is not innovative but rather has high growth prospects and is extremely lucrative, or CRSP which is unprofitable but has a exciting future and life-changing implications (for example)
The honourable mentions all fell short because of profitability, risk, and future implication uncertainties. I still rank them towards outperformance, however the risks, high expectations, and quantitative uncertainty pushed them off the main list
Top Stock Picks of 2021:
- Square (SQ)
- Apple (AAPL)
- Riot Blockchain (RIOT)
- Crispr Therapeutics (CRSP)
- Merck & Co (MRK)
- Innovative Industrial Properties (IIPR)
- Crowdstrike Holdings (CRWD)
Honourable Mentions:
- Nio (NIO)
- Alibaba Group (BABA)
- Chewy (CHWY)
- Palatir Tech (PLTR)
- FuboTV (FUBO)
- Invitae (NVTA)
- Advanced Micro Devices (AMD)
2021 predictions:
Coming out of the recession, I am quite bullish and have high expectation for the next 5 years. I am looking for revenue growth & EBIT growth along with higher profit margins. Higher profit margins will signal an economies of scale efficiency; a fixed aspect of costs being utilized more effectively. I'm expecting companies to come out of the pandemic more profitable and efficient (effective capital utilization). ROA, ROE, Gross margin, and Profit margin are front and centre.
My S&P 500 growth projections:
Moderate-Bearish: 6-7%
Conservative: 14-15%
Bullish: 21-22%
- My moderate-bearish prediction is if the "bears" are right and we see a correction in the coming 3 months along with COVID-19 complications
- My conservative prediction is if trade tensions and corporate tax rate increases are in the spotlight all year, along with the depreciating dollar
- My bullish prediction is if by the summer we are back to normal with the occasional hiccups throughout the year
***I'm leaning towards an 18-21% growth rate, with equal probability of below 18% and above 22% growth rates***
As always, leave a comment & a like :)
also, let me know your top picks of the year!
BITCOIN TO SEE A CORRECTION! Bitcoin has been following the stock market price for price since late January of 2020 which is concerning since bitcoin should be treated as a currency and not a security; the stock market at all time highs followed by bitcoin at all time highs is not a coincidence. We can do our best to make price targets for bitcoin using technicals and fundamentals but at the end of the day; the stock market is going to control the bitcoin price. If the stock market dumps in 2021; you best believe 75,000 Bitcoin price target will be out of the window.
Bitcoin currently has a-lot going for itself with Paypal and Tesla both getting into it however like I showed the volume, there is just not many people trading bitcoin currently which tells us 2 schools of thought; either most traders are holding or not many people are buying bitcoin. It is quite concerning since the volume is 1/3 to what we saw in 2017. You might ask "wouldn't the volume pick back up?"; yes, it could however volume being such low over a 810% move up isnt necessarily good, which leads me to think; Who is really moving the market?
EURJPY Head And Shoulders patternEJ has formed an inverted Head and Shoulders pattern on the daily chart. And while price was doing so it was accompanied by 2 large impulse candles. I am looking for a retest of the neckline which happens to be a 50% retracement. When the time is right a bullish reversal pattern on the 4 hr chart may signify an entry!!
📈 BTCUSD is developing an uptrend in 2021 For the last two weeks of 2020 BTCUSD moved so far than my expectations.
First of all, it reached a new high of all time at 29282 which means the uptrend still is developing itself.
So for the next week what I expect here is a breath in the 27165 and then the resumption of the uptrend.
Three drive pattern shows we should expect supporting going up from the uptrend line and support level @27165.
I wish you all a happy new year and best luck
Be Pro
Pro_Trader_007
📈 BTCUSD is developing an uptrend in 2021 For the last two weeks of 2020 BTCUSD moved so far than my expectations.
First of all, it reached a new high of all time at 29282 which means the uptrend still is developing itself.
So for the next week what I expect here is a breath in the 27165 and then the resumption of the uptrend.
Three drive pattern shows we should expect supporting going up from the uptrend line and support level @27165.
I wish you all a happy new year and best luck
Be Pro
Pro_Trader_007
BTCUSD - Correction (at least) Time for a correction ...
What goes up fast, comes down fast, This is the rule of nature whether you like it or not. The higher it goes, the harder it will drop.
BTC is and always will be the pioneer of Cryptocurrency ... but this doesn't mean it is the best cryptocurrency.
Spike to 30K is possible then a correction is way overdue.
Trade with proper risk management.
Happy New Year and Good luck. :)
Will Bitcoin Hit Record Highs in 2021?Hi All,
Bitcoin now cannot be judged, but there are reasons that he gave an opportunity to buy it and will not return as its price was for several reasons
On top of the support from traditional payments systems, institutional investors are bound to increase Bitcoin’s price
For example, JPMorgan analysts have predicted that around $600 billion is set to enter the asset’s market. This is based partly on the $100 million investment into Bitcoin by the Massmutual insurance group.
A leaked Citibank report, for instance, claims that Bitcoin is “21st Century Gold.” This document notes that Bitcoin’s consistent rallies and corrections aren’t a bad thing. If anything, these changes are proof that the asset has a long-term foundation.