BALTIMORE (Stockpickr) -- Want to outperform in April? Then utility stocks are your best bet.
No, that's not a misprint. Utility stocks have taken performance leadership in 2014.
That makes sense for two big reasons: First, boring utility stocks have been offering the opposite of the hefty valuations in the momentum names that have been selling off in March and April, and second, Janet Yellen's cooling down of the Fed's interest rate hike talk bodes well for high-yielding utility stock values.
Ever since the new Fed Chairman calmed interest rate fears at the end of March, investors have been unloading former momentum leaders in favor of utility stocks. She's the one who flipped the switch.
"Don't fight the Fed" is pretty good advice right here.
Instead, we're turning to big trades from the utility sector to protect from downside in April. Today, we'll take a technical look at five of them.
For the unfamiliar, technical analysis is a way for investors to quantify qualitative factors, such as investor psychology, based on a stock's price action and trends. Once the domain of cloistered trading teams on Wall Street, technicals can help top traders make consistently profitable trades and can aid fundamental investors in better planning their stock execution.
Without further ado, let's take a look at five technical setups worth trading now.