It's going to be a "jam-packed June," says Anthony Valeri, an investment strategist at LPL Financial. Investors coming into the holiday-shortened week today will immediately start looking toward Friday, when the non-farm payrolls report for the month of May will be released.

There's "plenty of risk events on the calendar to watch out for," he added. Aside from the Friday jobs report, there's also a European Central Bank meeting followed by a Federal Reservemeeting later in the month. Also in June comes Britain's vote on whether to leave the Eurozone, known as "Brexit."

Given all of the potential headlines, Valeri says his firm would be a "little cautious here."

While there may be some short-term volatility, he's not going to let that deter him from the bigger picture. Stocks may be in a for a dip, but Valeri said he doesn't expect a large pullback to emerge.

There's potential for a "choppy" June, but after that, there's a lot of headwinds that are turning into tailwinds such as for the U.S. dollar and oil prices. The dollar has declined year over year while oil has climbed. The economy is growing, albeit slowly, while jobs and earnings trend higher. That bodes well the economy and for the market, Valeri said.

So where should investors be looking? Valeri is avoiding some of the overvalued sectors such as utilities. "They're very expensive and, with the Fed possibly raising rates, those are sectors we'd avoid," he reasoned.

Conversely, Valeri likes tech, healthcare and consumer-based stocks to do well. He also prefers domestic stocks over international.

Image placeholder title

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.