Where I'd spend $20,000 on ASX shares this week

Afterpay Touch Ltd (ASX: APT) is one of the ASX shares I would spend $20,000 on this week.

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Well, as another week starts on the ASX, we have seen some fresh new highs and not too many lows – all in all, things seem to be steaming along nicely. Saying this, each new week throws up fresh opportunities to consider deploying your hard-earned money as capital into the markets.

Here's where I would consider spending $20,000 on ASX shares this week.

Afterpay Touch Group Ltd (ASX: APT)

Afterpay shares have dropped today after hitting a new record high of $34.28 just last week, closing today's trade at $32.23. The market has clearly been spooked on speculation that up-and-coming rival Latitude Financial Services is imminently planning an ASX IPO. Although it does look like this is the case, Afterpay has managed to keep a phalanx of would-be rivals like Zip Co Ltd (ASX: Z1P) at bay so far, and I don't think a new entrant in this crowded space is going to steal Afterpay's crown anytime soon.

With the company's US launch exceeding all expectations, along with its UK launch looking very promising, this dip back below $33 might be a rare buying opportunity for Afterpay.

REA Group Limited (ASX: REA)

REA Group hit a new all-time high this morning of $110.48, but REA shares have since pulled back to close at the $108.49 mark. Still, this most recent surge underpins one of the ASX's best companies in my view. The dominance of REA's flagship property website realestate.com.au continues to run laps around its rivals and the ever-expanding portfolio of property businesses that REA has under its belt (like home loans and property valuations) will continue to provide synergies and leverage across the business going forward.

Wesfarmers Ltd (ASX: WES)

Wesfarmers continues to edge closer to the $40 mark after briefly passing it back in July. Wesfarmers' shares closed for $39.91 today, but this $45 billion ASX behemoth continues to show its quality and resilience. Its mainstay Bunnings Warehouse business is dominant in the hardware/DIY market, Officeworks continues to be the king of the stationary supplies sector and recent Wesfarmers graduate Coles Group Ltd (ASX: COL) is looking close to topping its post-float high of $15.26 (which I bet is making Wesfarmers glad it hung onto a 15% stake). There is no more diversified blue-chip share than Wesfarmers and so it makes the list of shares I'd buy this week.

Foolish takeaway

All 3 of these ASX companies are high quality businesses I would look at investing $20,000 in this week. Although prices are looking high at the moment, you are paying for quality here and so perhaps employing a cost-averaging strategy might be the best way to build a position over time.

Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of AFTERPAY T FPO and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Wesfarmers Limited. The Motley Fool Australia has recommended REA Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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