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3 Commodity Stocks to Buy on the Dip: Rio Tinto, Weatherford, and Williams Companies
Domestic equities have managed to return to their bullish ways
as easing concerns over US military involvement in Syria have
helped some of the uncertainty that's been plaguing investors'
confidence on Wall Street. Furthermore, investors rejoiced after
Larry Summers withdrew his bid for Fed chairman earlier this week,
showcasing the market's concerns over the abandonment of "ultra
loose" monetary policy.
Amid the ongoing rally on the home front, bargain shoppers are in search of trending stocks at attractive levels. As such, below we take a look at three big commodity stocks that are trending higher, but have slipped in the last few trading sessions, thereby offering an attractive opportunity to "buy on the dip" in the near future.
The stocks included here are rated as "buy" candidates for three reasons: First and foremost, each of these companies boasts a market cap upwards of $10 billion along with average daily trading volumes topping the $1 million mark, in an effort to weed out smaller, more volatile, trading prospects; second, these securities are trading above their 200-day moving averages, thereby implying they are in longer-term uptrends; thirdly, these stocks are also trading below their 5-day moving averages, which makes them attractive for swing traders looking to buy in before they rebound. As always, investors of all experience levels are advised to use stop-loss orders and practice disciplined profit-taking techniques.
Rio Tinto ( RIO )Consider RIO's one-year daily performance chart below.
Weatherford International ( WFT )Consider WFT's one-year daily performance chart below.
Williams Companies ( WMB )Consider WMD's one-year daily performance chart below.
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Editor's note: This article by Stoyan Bojinov was originally published on Commodity HQ .