Which Socks To Invest In During A Recession - The Trusted Way

Ok, we are not even at bonfire night, but we are looking forward to Xmas already, why?

At Chump Profit we are looking for the optimum opportunities for our followers, always.

At the moment it’s all doom and gloom, especially in the UK, thanks Liz thanks Mr Putin.

So what can we look forward to? I know, the tried and tested “Santa rally”.

A Santa Claus rally is a calendar effect that involves a rise in stock prices during the last 5 trading days in December and the first 2 trading days in the following January.

Over the 7 trading days in question, stock prices have historically risen 76% of the time, which is far more than the average performance over a 7-day period.

So we ask this question, has the stock market bottomed out, no idea, are we in or heading for a recession, yes.

So if I wanted to take a punt on a stock/company that has fallen in value in recent months ,as all have , but will perform well during a recession, take at look at these.

Basically, whatever the economy, we need food, drugs and entertainment on the cheap.

These are our top 8 trades, that you have actually heard of.

Walmart Inc. (ticker: WMT)

It's no surprise that discount retailer Walmart outperformed during each of the past two recession years. Americans can't go without groceries when times get tough, but they can save money by bargain hunting at Walmart.

Costco (NASDAQ:COST): The membership-only warehouse store operator allows customers to save money by purchasing goods in bulk.

Walt Disney Co. (DIS)

Walt Disney is one of the largest and most diversified media and entertainment companies in the world. That diversification has helped Disney's business remain in high demand during a wide range of economic conditions, including a global pandemic. Even when Disney's theme parks, cruise business, and movie and TV studios were shut down in 2020, Disney+ streaming subscriptions surged.

McDonald’s Corp. (MCD): People will always need to eat. During times of economic difficulties, folks do turn to fast food.

PepsiCo (NASDAQ:PEP): Pepsi makes several well-known brands (e.g., Pepsi, Tropicana, Quaker Oats, and Aquafina) that line grocery store shelves. PepsiCo's sales tend to remain relatively stable during difficult times, putting it in a strong position to weather a recession.

Procter & Gamble Co. (PG): Companies that offer consumer staples do well during a recession because people still have to purchase basic necessities.

Johnson & Johnson (JNJ): This company is diversified between many recession-proof products in the healthcare field.

Pfizer (NYSE:PFE): Together with its partners, Pfizer makes some of the world's best-selling pharmaceutical drugs and vaccines covering a wide range of medical issues. People need access to these lifesaving products, no matter what's going on in the economy.

Bottom Line

The good news is that even though the stock market is down, it doesn't mean that every company is suffering.

Other good news, you have the option to invest long term or the option to trade them short term. Our partners of choice offer you this opportunity and we are here to assist you to begin growing your portfolio, whatever the economic conditions.

Happy premature xmas.