Daily - Go to TTD's Chart scroller of Breakout Stocks - Wednesday, March 1, 2017
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Daily - Go to TTD's Chart scroller of Breakout Stocks - Wednesday, March 1, 2017 |
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Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, February 27, 2017 |
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Go to Video Show - "How to Make Money With Breakout Stocks |
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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 trades. We also feature stocks under Significant Accumulation that are poised to breakout.
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Ticker Tape Digest's Daily schedule guide for TTD subscribers 1. Pre-market - check Breakout Watch List and Quick Trades. 2. Morning - (11:30 - 12 A.M.) - check breakout stocks tape and breakout chart slide show. 3. Midday (1 P.M.) check TTD Midsession Report and see market video show. 4. After close (4 P.M.) check final TTD Report for day. Trading Strategies Bullish Aggressive Investors Bullish - "Breakout Stocks" - ideally suited for bull markets and special situation stocks. Potential for large returns. (See Performance) Aggressive Investor Bullish- "Quick Trade Stocks" -ideally suited for entry into top performing issues looking for a small quick profit." (See Performance) Conservative Investors "Bargain Buy Trades for the Long Term." Ideally suited for entry into top performing big cap stocks on pullbacks within overall up trend.(See Performance) Bearish Aggressive Bearish Investors - "Breakdown Stocks" to Sell Short. Ideally suited for bear markets or market pull backs. Potential for large returns (See Performance) |
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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.
Breakout Stocks
Total Buy Breakouts so far today - 31
Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list very large with some good looking plays. Bulls can be venturesome. Stock market resumes up trend.
(Put mouse on chart to Nasdaq)
Environment for bulls: Bullishl
Stock Market Momentum
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
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TTD's Quality Rating of Stock - SCHW - ABOVE AVERAGE |
SCHW, based in San Francisco, provides brokerage and financial services for investors. Annual revenues: $7.5 billion. SCHW's stock breaks out Wednesday from a six-week, cup-and-handle base. The move carries the stock to a 16-year high. 
SCHW's all-time high was set back 1999 at $51.66.
So far today, SCHW is trading 15.1 million shares. Its average daily volume is 8.5 million shares. 
SCHW's stock moved higher in the morning with the powerful move in the stock market.
SCHW managed to cross its breakpoint line in the afternoon. It held above it until the final bell.
Tape Action
SCHW's tape action shows the recent block trades.
One can see the price for the blocks climbing from $39.94 in the prior session to as high as $42.99.
A key bullish trade came late on Tuesday when a block of 1.3 million shares (duplicated) crossed the tape at $40.41.
That was up from the prior block trade at $39.94 on 186,570 shares.
Then near the close Wednesday a block of 498,435 shares (duplicated) crossed at $42.99. 
That was up from the prior block trade at $42.70 on 250,000 shares.
So, the tape showed aggressive institutional buying.
Business
SCHW is a brokerage firm. It provides wealth management, securities brokerage, banking, money management and financial advisory services.
It provides financial services to individuals and institutions.
The investor services segment provides retail brokerage and banking services, retirement plan services and other corporate services.
The advisor services provides custodial, trading and retirement services. It also offers brokerage, mutual funds, exchange-traded funds, advice solutions, banking and trust services.
Charts
SCHW's 12-month performance chart shows the stock appreciating 58% versus a 20% gain for the stock market.
Insiders were recent buyers using stock options from $13 to $25 a share.
They were sellers recently around $41. A key seller was chairman Charles R. Schwab who recently sold 738,000 shares at $41 to $42 a share. Also, CEO Walter Bettinger has been a big seller around $42 a share.
SCHW's long-term chart shows the stock falling to around $11 in 2009. The stock then traded in a range between $10 and $20. The stock broke out in 2013 and has since been working steadily higher.
SCHW's daily chart shows the stock climbing from around $32 in October to around $42 by January.
The stock then formed a classic cup-and-handle base.
The breakout Wednesday looks solid with a widening of the daily spread.
There was some selling in the prior session.
SCHW's CCI momentum indicator is solidly bullish.
Earnings Outlook
This year, analysts are forecasting a 22% increase in net to $1.58 a share from $1.30 in 2016.
The stock sells with a price-earnings ratio of 27. TTD sees that as reasonable.
Going out to 2018, the Street looks for a 20% rise in net to $1.90 a share from the anticipated $1.58 this year.
Net for the upcoming first quarter should climb 25% to 36 cents a share from 29 cents the year before.
The highest estimate on the Street is at 37 cents a share. SCHW tends to come in at the estimate.
Net for the second quarter is expected to advance 28% to 39 cents a share from 30 cents the year before.
Strategy Opinion: TTD is targeting SCHW for a move to $52 off this breakout. A protective stop can be placed near $39 giving it room.
TTD rates SCHW an average intermediate-term play.
Suitability: Average Bulls.
TTD's special research of SCHW's's Prior Performance after a Breakout:
TTD's research shows that recently (see table) SCHW scored a big win off a breakout. However, before that the gains were small. So, one needs to be watchful. A big plus is that the seasonal chart shows SCHW scoring big gains in March. That is a big plus
TTD's special research of Stock's Prior Performance after Earnings:
SCHW has moved significantly higher after 8 of its past 11 earnings reports. So, if the numbers are good that will be very bullish for the stock.
Stock's Prior Performance After A Breakout
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Stock's % Change from Breakout to peak - prior to cut below 50-day M/A. |
Date of Breakout |
Break point Price |
Stocks Price Peak after Breakout - prior to cut below 50-day M/A |
Date Trade Closed |
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29% |
11/9/2016 | 32.86 | 42.45 | 1/26/2017 |
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1% |
10/5/2016 | 31.92 | 32.45 | 10/10/2016 |
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3% |
5/24/2016 | 29.92 | 30.81 | 6/1/2016 |
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6% |
6/2/2015 |
31.60 |
33.48 |
6/23/2015 |
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12% |
7/3/2014 | 27.42 | 30.78 |
9/18/2014 |
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17% |
10/15/2013 | 22.81 | 26.80 | 1/21/2014 |
(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
| TTD's Quality Rating of Stock - GEF - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - APOG - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - AIZ - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - TECD - AVERAGE |
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 - 5
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Small list of breakdown stocks Wednesday as stock market surges higher. Bears be conservative.
TTD short from Tuesday was Target Corp. (TGT) at $58.77. Wednesday, TGT drops to $57.83. It is working well for bears.
BKE, based in Kearney, Neb., is a retailer of casual clothes, footwear and accessories for young men and women. Annual revenues: $1 billion. BKE's stock falls Wednesday undercutting key technical support. TTD sees more on the downside. 
TTD highlighted BKE as a short at our midsession video show on the Web.
So far today, BKE is trading 1.1 million shares, double its average daily volume of 565,000 shares.
BKE's stock fell in the morning and undercut key technical support. The stock continued lower touching an intraday low of $18.30 in the morning.
The stock then worked higher to get to around $19. However, it remained under its support line.
Tape Action
BKE's tape action shows the block trades.
One can see the price for the blocks falling from $20.15 in the morning to as low as $18.67 Wednesday.
A key bearish trade came when a block of 8,000 shares crossed the tape at $19.95.
That was down from the prior block trade at $20.15 on 9,482 shares.
Business
BKE sells denims, tops, sportswear, outerwear and footwear.
The company provides free hemming, free gift-wrapping and layaways, the Buckle credit card, and a frequent shopper program.
BKE sells Miss Me, Rock Revival, Big Star Vintage, Buffalo Jeans, KanCan, and Flying Monkey. Its other brands include Hurley, Billabong, Affliction, American Fighter,Oakley, Fox, Society, Obey, Roar, RVCA and Salvage, 7.
Earnings
Net for the fiscal year ending in January is expected to fall 32% to $2.07 a share from $3.06 in fiscal 2016.
For the fiscal fourth quarter, a 31% drop in profits is expected with net sliding to 78 cents a share from $1.13 the year before.
Going out to fiscal 2018 ending in January, the Street is predicting an 8% drop in net to $1.91 a share.
Charts
BKE's 12-month performance chart shows the stock declining 38% versus a 20% gain for the stock market.
Insiders were light sellers of the stock around $24 late last year. They have received stock options this year. None have been used.
BKE's stock has decline 7 out of the past 10 quarters.
Strategy Opinion: TTD is targeting BKE for a drop to $15 within the next few months, or sooner. A protective stop buy can be placed near $20.20
Suitability: Average Bears.
| TTD's Quality Rating of Stock - BKE - BELOW AVERAGE |
Stock Performance Chart with Quarterly Earnings Markers vs. S&P 500
Insider Buying in Green - Insider Selling in Red
TTD columnist Leo Fasciocco has covered the stock market for over 30 years. His articles appear in many publications. He is also 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. Distributed by Corona Publishing Enterprises. Ticker Tape Digest Inc. P.O. Box 2044 Chandler, Az. 85244-2044. TTD “Professional Report” is available on the World Wide Web: $100 per month. Password needed. “TTD Professional“ Faxed is $200 per month. The TTD Daily Report is $39.95. Credit cards accepted.
(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.)
