Jim Cramer went through the first 10 alphabetical names of the 30 stocks that make up the Dow Jones Industrial Average in his opening Real Money column here on Tuesday. He said Coca-Cola Co. (KO) is "a buy, plain and simple".
"I think investors will flock to Coca-Cola as a safe haven because it's a classic defensive stock that does just fine in a slowdown. Right now it's at $52 -- if you can get it for less than $50 that's a gift," Cramer said.
Let's check out some simple charts and indicators for Coca-Cola, which is our Stock of the Day at Real Money.
In this daily bar chart of KO, below, we can see that prices have found some buying interest around $52 in November and that area may attract buyers again. A lot of technical damage can be seen on this chart in just the last three weeks. Prices are below the declining 50-day moving average line and below the cresting 200-day moving average line. Trading volume has been heavy in recent days and weeks and the On-Balance-Volume (OBV) line has weakened since the middle of February. The trend-following Moving Average Convergence Divergence (MACD) oscillator has quickly turned from bullish to bearish as it fell below the zero line.