The Dow Jones industrial average is just 5 percent from its all-time highs, and one technician has three names that could take the index back to its old records and onto new highs.
Money in the banks
"The first, J.P. Morgan, clearly a big important bank stock. What we like about it is every time it comes right back to support, it checks support and then ultimately it resumes higher," Verrone told CNBC's "Trading Nation" on Monday. "We think J.P. Morgan is a big help for the index."
J.P. Morgan hit an all-time high Feb. 27, but has since retreated 7 percent. Its shares remain nearly 4 percent higher for the year, setting the stock up for a fourth straight year of gains.
"The second name that I want to show you here is Home Depot, very important consumer name. Again, similar story," said Verrone, highlighting several recent moves where the stock touched support and moved higher. "We're starting to emerge from this base. Very good-looking picture. We'd be long here."
Home Depot has gained more than 5 percent in the year to date, making it the tenth best performer in the Dow in 2018. It is up 31 percent over the past 12 months.
"Lastly, most important stock in the entire world, the largest stock in the entire world, this is Apple. It's frankly already broken out above that $190 level, we think on its way to $225, maybe $230," added Verrone.
Apple hit an intraday record less than a week ago. It's up 13 percent for the year and closing in on a $1 trillion market cap, the first publicly traded company to ever reach that level.
Bill Baruch, president of Blue Line Futures, said he is a fan of those three names, but sees any pullback as a better opportunity.
"As a trader, and less of an investor, I'm a little hesitant to be a buyer at these levels," Baruch said on "Trading Nation." "I would be a buyer at lower levels but I think there's a little bit of room to come back in."
J.P. Morgan, Home Depot and Apple shares were all slightly higher Tuesday.