For stock removal, I prefer O1, CPM 154CM, 3V, and good 'ol ATS-34.
For forging, I prefer W2, 52100, and 1084/15N20 for damascus.
All are readily available, CLEAN (you don't often find these steels full of inclusions and crud), very defined heat-treating parameters that I seem to do well with (even though I'm ALWAYS tweaking things).
O1 is relatively inexpensive, and makes a really solid cutter and I have had what seems to be good success with heat-treating it in my salt bath. It does rust like a bastard though.
CPM 154 CM works very nicely (easy to machine and grind) and is fairly easy to put a really nice finish on (hand-rubbed). ATS-34 really isn't much different, but the CPM process leaves you with a finer quality steel and MUCH less chance of inclusions than I've had experience with in ATS-34.
CMP 3V is a WORK HORSE... it's easy to machine and grind in the annealed state, but once heat-treated is NOT HAND SANDING FRIENDLY. It will cut, and cut, and cut... and takes a lot of abuse.
W2- It's sort of the steel dejour right now, but I sought it out several years ago when I first got addicted to hamon. It forges very nicely, is easy to heat-treat, and responds well to the clay applied, hardening process. It polishes out very nicely.
52100 is definitely a hype steel, but it has worked well for me. I like it for a carbon steel blade that I want fully hardened and hand sanded. I suppose O1 is actually a better choice for a blade.
1084/15N20 for damascus. They have similar heat-treating needs, and will forge weld together like glue. They make a fine cutting instrument when complete. I think O1 and L6 are a superior cutter, but they are not nearly as forgiving while working, and don't etch with quite as much contrast. I think so long as you have the required heat-treating sources, it's hard to go wrong with either. If you don't have a realy accurate heat-source, then it's a lot harder to screw up the heat-treating on 1084/15N20.
All of this is just my opinion. There are several other steels I've made knives from, that performed well (IMHO).... such as 5160, 6150, 1095, A2, D2, L6, etc.
