Ticker Tape Digest

Friday - February 2, 2018

By Leo Fasciocco -- TTD

   Ticker Tape Digest presents its daily stock market report containing stocks to go long as Breakout Trades, Quick Trades, or Bargain Accumulation Trades.

  We also feature stocks under Significant Accumulation that are poised to breakout.

   The TTD report also contains stocks to short as  breakdown plays and as bargain (swing trade) shorts.

  Investors should  tend to try to go with a strategy that fits with the stock market's trend, unless there is a special situation play.

  TTD's Breakout Stocks - Long are most suitable for aggressive investors seeking ideal entry points into leading stocks, especially during bull markets. They can do extremely well in bull markets with gains of as much as several hundred percent.

 These stocks can also do extremely well during strong market rallies, or if they are in a industry group that is performing very well. They tend to have strong earnings outlooks and are near new-52 week, or all-time highs.

  TTD Quick Trade Stocks - Long These are leading issues that have pulled back in recent days, but could move higher soon. They are most suitable for Aggressive Investors willing to trade short term. These stocks will do extremely  well during market advances. They have about 74% win rate. During market rally sequences the win rate is even higher. The return is small 3% to 8% in just a few days.

 TTD's Bargain Buy Trades - Long - Long Term.  These are for conservative bullish Investors These long-term buys are ideally suited for entry into stocks on pull backs within overall up trend. These stocks can give a good return long-term especially during a bull market.

   TTD also presents Stocks To Sell or Sell Short. These issues are suitable for aggressive investors willing to take short positions both as trades or for longer-term plays. These stocks will do very well during bear markets or market pull backs.

  TTD's Bearish breakdown stocks to sell short. These issues have potential to fall sharply. They often show a technical breakdown and also some fundamental business problem such as weak earnings.  

 TTD's multi-media updates include a slide-show that presents charts and analysis at midsession. Some times TTD presents feature analysis on stocks and the market. TTD uses Windows Media Files. (WMV).

 TTD also presents a "Breakout Watch List" that is up dated daily. This list consists of key stocks in position to breakout. A close watch of this list can put you in the stock just as it breaks out. A good idea is to study the list and be ready to move into a stock quickly as it hits its breakpoint.

TTD often suggests using stop buy orders to enter. It is very important to buy a breakout stock as close as possible to the breakpoint. The idea is to get "elbow room" if the stock should follow through to the upside. This is very important in being successful in making big money with breakout stocks.

It is also essential to have a stop loss strategy for all stocks in which positions are taken. Not every stock will work as expected. It is important for investors to "police" their portfolios and avoid getting trapped in any bad positions.

 Quality rating of breakout  Two key factors: 1 - Stock near all-time high in price or near a 52-week high. 2 - earnings growth current year is strong. The ideal play is a stock with an Above Average Quality Rating. The stock is near a new high and will have strong earnings. TTD's other ratings are Average and Below Average.

   TTD also has  special feature sections on  Educational Tips on Investing.

   To email Mr. Leo Fasciocco  leo@tickertapedigest.com.   

   For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.

Friday - February 2, 2018

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts so far today -  5

Quality of Breakouts -  Average

Stocks Screened - 12,234

Bull side -  Very few breakouts and selective. Bulls be conservative.

Stock market  -  Daily market averages are bearish now. The market remains bullish in the weekly and monthly time sectors.

Stock Market Momentum

(Daily is based on a moving average)

Ticker Tape Digest's

Timely Breakout Stocks From Tape Action - Friday

(The “breakout List” gives all stocks breaking out of a base of five weeks or more. These stocks have a good chance to trend higher. However, a stop should be used to avoid those that do not work. They are ranked according to percentage change and classified as leaders or other. (Trading strategy: One should buy breakout stocks at breakpoint by using market order or stop buy)All Timely Breakout Stocks From Tape Action Today )  

Today's Featured TTD Breakout Stock

MiX Telematics Ltd. (MIXT) - 13.28, up 0.60 - Breakpoint 13.15

Net to leap 36% in Fiscal 2018 (March), TTD Targets 17 

  MIXT, based in South Africa, provides fleet and mobile asset management solutions delivered as software-as-a-Service to customers. Annual revenues: 1.5 billion. MIXT moves higher Friday and breaks out from a six-week flat base.

  So far today, MIXT is trading 172,419, triple its average daily volume of 53,000 shares.

  The stock has a beta of 0.76 versus 1.00 for the stock market. Thus, MIXT tends not to be very volatile.

  MIXT's 10-minute chart shows the stock moving higher in the morning and clearing its breakpoint line.

  The stock reached an in intraday high of $13.64 during the day.

   Tape Action

  MIXT's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $12.47 in the morning to as high as $13.40.

  A key bullish trade came in the morning when a block 2,769 shares crossed the tape at $12.80.

  That was up from the prior block trade at $12.57 on 1,639 shares late on Thursday.

   Business

  MIXT's operations cover Africa, Europe, Americas, Middle East and Australasia and Brazil.

  The company's products and services provide enterprise fleets, small fleets and consumers with solutions for safety, risk management and security.

  The Company's solutions include MiX Fleet Manager, which consists of an on-board computer, an online tracking and information portal, as well as access to fleet and driver reports.

  Charts

  MIXT's 12-month performance chart shows the stock appreciating 77% versus a 22% gain for the stock market.

  MIXT's long-term chart shows the stock coming public in 2013 and trading as high as$16.82.

  The stock then trended lower touching $3.33 by early 2016. However, since then MIXT has been working steadily higher having made a fourfold move from its low.

  MIXT's daily chart shows the stock climbing from $10 back in October to a peak at $13.15 by late December.

  The stock then formed a flat base with a tilt to the downside.

  The stock moved higher in the prior session and then on Friday drives out of the base even though stock market fell sharply.

  The stock's CCI momentum indicator is strongly bullish.

  Earnings Outlook:

  This fiscal year ending in March analysts are forecasting a 35% jump in net to 42 cents a share from 31 cents the year before.

  The stock sells with a price-earnings ratio of  30.

  Going out to fiscal 2019 ending in March, the Street is predicting a 34% spurt in net to 56 cents a share from the anticipated 42 cents for this year.

  Net for the upcoming fiscal fourth quarter ending in March is expected to be up a modest 10% to 11 cents a share from 10 cents the year before.

  Then in the first quarter of fiscal 2019, the Street looks for a 20% gain in net to 12 cents a share from 10 cents the year before.   

 Strategy Opinion: TTD is targeting MIXT for a move to $17 off this breakout.

 A protective stop can be placed near $12.

  TTD rates MIXT a good intermediate-term play provided it meets earnings estimates.

  TTD rates MIXT an average intermediate-term play.

Suitability:   Average Bulls.

                 TTD's special research of  Stock's Prior Performance:  

Probability - Breakout Success -  Bullish.  MIXT has scored some good gains off its recent breakouts.

Probability - Earnings Response - Bullish. MIXT rose 7 times after the past 13 earnings reports when there was a significant change.

Probability:  Seasonal Success - Bullish.  MIXT showed an average of flat action in February the past several years. It rose an average of 3.5% in March.  

           Stock's Prior Performance After A Breakout

(In actual trading, entry and exit points could vary depending on broker execution.

Also, ideal are breakouts to a new 52-week high or better, perhaps all-time highs.)

  Stock's Long-term Chart

   Stock's Performance Chart with Quarterly Earnings Markers vs. S&P 500

Insider Buying in Green  - Insider Selling in Red

   Stock's Monthly Seasonal Performance Chart - Past 5 Years

Showing % Months UP and % Change

Charts of Selected Breakout Stocks

Ticker Tape Digest’s

Stocks To “Sell or Short”

Ticker Tape Digest’s Daily List of “Stocks To Sell or Sell Short” ranks stocks well timed to be sold immediately based on daily trading. The list can be used as an alert to reduce current long-term positions.

Shorts from tape action so far today - 20 - Max.

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side - Maximum list of shorts Friday. Stock market falls sharply and broadly. Bears can be venturesome but be careful of shorts that are extended to the downside.

  TTD's short from Thursday was Belden Inc. (BDC) at 75.31. Friday, it falls to 74.38.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Aceto Corp. (ACET) - 7.92, down 2.99

Net Declines, TTD Sees Decline to 6

  ACET, based in Port Washington, N.Y., sells form generic drugs, nutraceutical products, pharmaceutical active ingredients and intermediates. Annual revenues: $638 million. ACET's stock falls sharply Friday and undercuts key technical support.  

 The company disappointed with earnings. TTD sees more on the downside.

  So far today, ACET is trading a heavy 3.1 million shares, 11 times its average daily volume of 285,000 shares.

  The company came in with net for the fiscal second quarter ending in December of 22 cents a share. That was down from the consensus estimate of 23 cents a share.

  ACET's stock fell sharply in the morning and touched an intraday low of $7.77 around noon.

  The stock lifted slightly and then trended mostly sideways the rest of the day.

  Tape Action

  ACET's tape action shows the recent block trades.

  One can see the price for the blocks falling from $10.91 in the prior session to as low as $7.90 on Friday.

  A key bearish trade came in the morning when a block of 21,140 shares (duplicated) crossed the tape at $10.24.

  That was down from the prior block late on Thursday at $10.91 on 21,422 shares.

  Business

 ACET three product lines cover: Human health, pharmaceutical Ingredients and performance chemicals.

  The company sells 1,100 chemical compounds used primarily as finished products or raw materials in the agricultural, coatings and industrial chemical industries.

  The human health segment includes finished dosage form generic drugs and nutraceutical products.  

 Earnings:

  This fiscal year ending in June analysts are forecasting a 10% decline in net to $1.07 a share from $1.19 the year before.

 For the fiscal third quarter ending in March, analysts expect a 31% drop in net to 27 cents a share from the 39 cents the year before.   

Charts:   

  ACET's daily chart shows the stock gapping lower and cutting below key support. The stock is in a steady down trend from a peak of $32.20 in 2015.

  ACET's 12-month performance chart shows the stock falling 58% versus a 22% gain for the stock market.

Strategy Opinion: TTD is targeting ACET for a decline to 6. A protective stop buy can be placed near $8.40.

Suitability:  Aggressive Bears.

  TTD's special probability research of  Prior Performance:  

Probability - Earnings Response - Extremely Bearish.   ACET rose just 1 time after the past 10 earnings reports when there was a significant change.

Probability:  Seasonal Activity - Extremely Bearish.  ACET declined an average of  11.5% in February the past several year. ACET rose an average of 6.7% in March.

   Stock Performance Chart with Quarterly Earnings Markers vs. S&P 500

Insider Buying in Green  - Insider Selling in Red

   TTD takes no responsibility for trading by those using this information. The stocks presented in our report are those we deem the best looking "Day Trades" for the long side. We take no responsibility for the accuracy of this data, although every effort is made to present the information correctly. Copyright Ticker Tape Digest. - 2018

    TTD columnist Leo Fasciocco has covered the stock market for over 30 years. His articles appear in many publications. He has also been  a speaker at the Intershow conferences. He has been on television and radio. He is author of many educational articles about stock investing and the book “Guide To High-Performance Investing.”

   For information to subscribe to the Ticker Tape Digest Services call: Beverly Owen at 1-480-926-1680.

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 TTD Pro Report includes a Morning chart slide show of breakout stocks, a Midsession video-audio show with commentary on breakout stocks and shorts and a Final end of day overall report on breakout stocks for the session, short plays and accumulation plays.  There are other features too such as Quick Trades and Long-term Plays.  

TTD Daily Report is $39. It covers a Morning slide show of charts of stocks breaking out and a TTD end of day print report covering breakout stocks and shorts.

 Credit cards accepted. Payable to Corona Publishing Enterprises.

(The information contained has been prepared from data deemed reliable but there is no guarantee of complete accuracy. Ticker Tape Digest Inc. is not affiliated with any broker, dealer or investment advisor. Nothing in this publication constitutes an offer, recommendation or solicitation to buy or sell any securities. Further research is advised. This report is copyrighted and no redistribution is permitted with out permission.)