2 REITs Looking Good Entering the Day

Sifting through my charts this morning I came across a significant number of strong charts that are at or near oversold levels. Two that caught my eye were in the same sector - REITs.

• Digital Realty Trust ($DLR) - Owns facilities that are leased mainly to technology companies to house their electronic equipment (think cloud computing). The larger servers and storage devices need to be in well maintained facilities that DLR offers. Stock is holding above support at $75 and pays a 3.9% dividend yield.
• Public Storage ($PSA) - Sitting on support at $142.50, the REIT owns and operates storage facilities around the country. The current dividend yield is 3.0%.
  

My 5 Favorite New 52-Week Highs

With the market flat at midday there are a handful of stocks breaking out to new highs and there are five that are grabbing my attention. They are either already on my WatchList or have been added today on the breakout.

Cerner ($CERN) - Healthcare IT company that is breaking out again. I love the business model.

Ebay ($EBAY) - This stock has been on my radar due to its PayPal unit and I am looking to enter in the near future.

Ross Store ($ROST) - The discount retailer has one of the best charts in the market and based on the current and future of the consumer it should continue to be a winner.

Equinix ($EQIX) - A play on the cloud computing craze, the stock has been a huge winner. That being said, with my view that money will start to move into technology the remainder of the year, EQIX looks good on a pullback.

iShares High Dividend Equity ETF ($HDV) - Had to add an ETF on here and one that we own for some clients. The large-cap dividend stocks continue to outperform and what better way to capture it than with a low-cost ETF.

When Everyone is Bearish - Time to Buy

Below is the most recent AAII Sentiment numbers. As you can see, investors have turned dramatically bearish and away from the previous bullish stance. When this happens I go against the grain and look for buying opportunities. Keep your eye out for some stock/ETF ideas in the blog later today. The AAII Investor Sentiment Survey measures the percentage of individual investors who are bullish, bearish, and neutral on the stock market for the next six months; individuals are polled from the ranks of the AAII membership on a weekly basis. Only one vote per member is accepted in each weekly voting period.
Survey Results
Sentiment Survey Results Week ending 5/9/2012 Data represents what direction members feel the stock market will be in the next 6 months.
Bullish	25.4% down 10
Neutral	32.5% down 3.6
Bearish	42.1% up 13.6
Change from last week: Bullish: -10.0 Neutral: -3.6 Bearish: +13.6 Long-Term Average: Bullish: 39% Neutral: 31% Bearish: 30%

USDA Agriculture Estimates

The USDA came out with inventory numbers and it sees corn ending stocks unchanged from last month at 810M bushels. The Teucrium Corn ETF ($CORN) had risen the last week as investors felt the stocks would fall; the ETF is down nearly 1% in early trading.

The estimates for soybeans and wheat both fell, which could be a boost to the prices of the two commodities. However early trading is mixed on the ETFs that trade the ags.

Teucrium Soybean ETF ($SOYB) is up slightly and has rallied 20% in the last few months as the Teucrium Wheat ETF ($WEAT) is down slightly.

The more widely followed iPath Grains ETN ($JJG) is down 0.5% on the news, however long-term the ETN and grains sector is one to watch and is on the PFG WishList.