Top 6 Stocks for February Energy and health care stocks best buys for the month ahead

#1 Anadarko Petroleum Corporation (APC)

Anadarko Petroleum Corporation (NYSE: APC), a major oil and gas exploration and production company, with operations primarily in the United States, the deepwater of the Gulf of Mexico and Algeria, is in a bull market that began in October 2008. Last year was spent retracing a breakdown that occurred in April. But in December, amid rumors that BHP Billiton (NYSE: BHP) had its sights on APC after failing to acquire Potash Corp. (NYSE: POT), the stock broke out on a huge breakaway gap from a major bottom “V.” Breakaway gaps need not be retraced (covered), so APC may have another major move up from it.

The rumors have not been confirmed, but based on the current price, the stock is still worth purchasing as a play on the continuing increase in the price of crude oil. Anadarko’s earnings for Q4 are expected to rise more than fivefold, according to Thomson Reuters. Technically, the breakout has a target of $90-plus. S&P rates APC a “five-star buy” with a target of $140. Buy now for a trade to $100 or for a long-term target of $130-plus. (more)