US Markets

There are still great buying opportunities in this 'Buffett bounce': Money manager

Key Points
  • When others are panicking, that's when it's time to go in and buy, Joule Financial's Quint Tatro says.
  • Stocks were "tepid" and on the "precipice of decline" until Warren Buffett announced his big Apple buy, he says.
  • "Right now there still are some great opportunities."
Buffett bounce: When others are panicking, pro says it's time to buy

The market is now experiencing a "Buffett bounce," investment expert Quint Tatro told CNBC on Monday.

Stocks were "tepid" and on the "precipice of decline" until legendary investor Warren Buffett announced Friday morning his Berkshire Hathaway had bought 75 million shares of Apple in the first quarter, the managing director at Joule Financial said.

"When others are panicking, that's when it's time to go in and buy," Tatro told "Power Lunch."

"Right now there still are some great opportunities."

Apple hit a record high on Friday after the Buffett news. That, in turn, helped push the major averages more than 1 percent higher. The Dow Jones industrial average had first dropped 100 points after the open before turning around.

Stocks extended the rally on Monday, with the Dow up for a third straight day and the and Nasdaq composite higher for a second consecutive session. Apple was up 1 percent Monday.

Scott Wren, senior global equity strategist at Wells Fargo Investment Institute, is also bullish on equities right now.

While the market has been "a little unpleasant," the S&P 500 is about 200 points below his midpoint target range of 2,850.

"The market has some more upside here," he said on "Power Lunch." "We've been trying to get our clients to step in here."

We're trying to get our clients to step in here: Wren

However, Bill Strazzullo, chief market strategist at Bell Curve Trading, thinks there's an intermediate-term top in the market right now.

The big question is whether the rally that began in March 2009 is beginning to roll over, he told "Power Lunch."

While it is premature to make that call, "the warning signs are getting more and more visible," he said.

For one, the Nasdaq 100, one of the key drivers of the rally, has basically reached its target from the March 2009 lows, he explained.

Plus, the S&P is seeing more and more stocks sold at lower and lower levels, he added. "That's a bearish sign."

What's more, the Dow has been unable to get back above 25,000, which it hit in January, and oil prices are going to soon hit a top, said Strazzullo.

"We're at an inflection point, but that doesn't mean the market is necessarily going to go higher. The resolution to this could absolutely be to the downside," he said.

Tatro, however, thinks "the bulls have the upper hand to drag this market."

That said, if Apple falls and gives its recent gains back then "this market is dangerous," he added.

As for where he sees opportunity, he thinks the VanEck Vectors Gold Miners ETF (GDX) may be close to a powerful breakout. He also likes banks, specifically Goldman Sachs and J.P. Morgan.

— CNBC's Brenda Hentschel contributed to this report.

Disclosures: At the time of this writing, clients and managers of Joule Financial were long J.P. Morgan, Goldman Sachs and GDX.