Helped by a year-to-date positive return in the S&P 500, the bottom fishing for value strategy continued recouping from paper losses from last month. Sticking with big, large-cap names like Wal-Mart (WMT) and Ford (F) proved a good move. Wal-mart’s defensive characteristics, slow build-out for online shopping, and low valuation helped push the stock price up. Despite Tesla’s (TSLA) strong momentum in the markets shifting investment money away from traditional automotive stocks, Ford (F) still rose steadily. The overall trend for Ford’s stock is negative. Its P/E keeps shrinking, where at seven times, will attract value investors. 

In the biotech sector, betting that Valeant Pharmaceuticals (VRX) would spike higher and move up steadily proved wrong. The stock closed at $30, the limit I would allow for a loss in this company. The proverbial jury is still out on whether this company is at a steep discount. The debt remains a concern, the business model’s profit margins are questionable without drug price increases, and the company has yet to file results. Expect continued volatility in this stock. This is a trade, not an investment. VRX won't become an investment until after it files its 10-K by the end of this month, if at all.

The sell call for Chesapeake (CHK)’s ROI of 62.3%  came as a sell idea. After closing at $3.55, CHK is now in the $6 range.

Expect the stock’s strength to continue. CHK is a clear swing trade: being bearish when debt and liquidity is in question. Buy when liquidity is assured for the next few years. CHK re-established a line of credit. The company is essentially making a one-way bet: oil and natural gas prices will trade higher moving forward.

Freeport-McMoran (FCX) is a new long idea. The stock finally held the $10 and above level. Expectations that China’s economic engine will speed up is helping copper and raw material prices.