Daily - Go to TTD's Tape of Stock Charts - Thursday, March 5, 2015
|
Daily - Go to TTD's Tape of Stock Charts - Thursday, March 5, 2015 |
|
Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, March 2, 2015 |
|
Go to Video Show - "How to Make Money With Breakout Stocks" |
|---|
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.
|
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) |
|---|
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 - 14
Overall Quality of Breakouts - BELOW AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list large but very selective. Stock market holds in consolidation pattern after recent run up.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Stock Market Momentum
Market (Daily) - NYSE Bearish, Nasdaq Bearish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
|
TTD's Quality Rating of Stock - TSE - AVERAGE |
TSE, based near Philadelphia, makes plastics, latex and rubber. Annual revenues: $5.3 billion. TSE's stock breaks out today from an 11-week cup-and-handle base. The push higher was aided by bullish comments by the company on the outlook for this year. So far today, TSE is trading 238,192 shares, almost triple its average daily volume of 89,000 shares. 
TSE's stock recently came public and went through a management restructuring. Insiders have been heavy buyers in recent months. (see performance chart - green bars).
They have done no selling. That is extremely bullish. The price they paid is very low. Last year, they were buyers around 19, but after that at an undisclosed price so far. 
In trading, TSE's stock pushed aggressively higher in the morning and cleared its breakpoint line.
The stock hit an intraday peak of 19.85 in the morning.
The stock then trended mostly sideways through the afternoon.
TSE's tape action shows the recent block trades.
One can see the price for the blocks climbing from $18.07 in the prior session to as high as $19.67.
There was a key bullish trade in the prior session when a massive block of 139,000 shares crossed the tape at 18.10. 
That was in a sequence started by an up tick from a block at $18.07 on 6,400 shares.
TSE's technology is used by customers in industries such as home appliances, automotive, building & construction, carpet, consumer electronics, consumer goods, electrical & lighting, medical, packaging, paper & paperboard, rubber goods and tires.
Some of its major products include styrene-butadiene latex, styrene-acrylate latex, solution styrene-butadiene rubber, lithium polybutadiene rubber.
The company also produces emulsion styrene-butadiene rubber, nickel polybutadiene rubber, polystyrene, expandable polystyrene.
TSE's performance chart shows the stock down 10% over the past few months against a rise of 12% for the S&P 500 index.
TSE's long-term chart only goes back nine months. The stock came out around 20 climbed to a high of 22.99. The stock then fell back hard to 12 by late last year.
However, since then it has been working higher. It does have some overhead resistance. So, it will be important to watch the stock closely in coming sessions. 
TSE's daily chart shows the sock climbing from 12 back November to a peak near 18.
The stock then pulled back and the next few weeks put down a cup-and-handle that was well formed.
The breakout Thursday comes with a widening of the spread (range from high to low). That is very bullish.
Also, the stock's accumulation - distribution line (bottom of chart) has already broken out to the upside.
The TTD momentum indicator (top of chart) is solidly bullish.
This year, analysts are forecasting a profit of $1.85 a share against 18 cents a share a year ago. The company uses a complex method of accounting.
In any case, based on the $1.85 a share, the stock sells with a modest p/e ratio of just 10. TTD sees that as low given projected profits.
Analysts are forecasting net for 2016 to climb to $2.88 a share, a 56% surge over the anticipated $1.85 for this year.
Analysts have no forecasts for the quarter.
Strategy Opinion: TTD is targeting TSE for a move to 25 off this breakout. A protective stop can be placed near 17.90.
TTD rates TSE a very good intermediate-term play provided earnings meet expectations. The stock is most suitable for aggressive investors.
Sponsorship: Good. The largest fund holder is the 3-star rated Dreyfus Opportunistic Small Cap Fund with a 0.93% stake. It was a recent buyer of 4,801 shares.
The largest fund buyer was the 4-star rated Pyramis Small Company Composite Fund which purchased 112,800 shares as a new position.
TSE has 47.3 million shares outstanding. Institutions hold only 2% of the stock.
Insider Activity: Bullish. Insiders have been steady buyers of the stock. They have done no significant selling.
Currently, 8 analysts follow the stock, 5 have a buy, down from 6 three months ago. TSE has a book value of $8.55 a share.
Stock Performance Chart with Quarterly Earnings Markers.
| TTD's Breakout Profile
Rating Trinseo SA - (TSE) |
| TTD Check List | Bullish | Bearish | Neutral |
| Near 52-week High | YES | ||
| Volume | YES | ||
| Tick Volume | YES | ||
| Price Trend - Daily | YES | ||
| Price Trend - Long Term | YES | ||
| Price Daily Spread | YES | ||
| Base Structure | YES | ||
| Base - A-D | YES | ||
| Earnings-Quarterly | YES | ||
| Earnings-Long Term | YES | ||
| Earnings Outlook | YES | ||
| Industry Group | YES | ||
| Prior Breakout Success | YES | ||
| Fund Sponsorship | YES | ||
| Total Score | 9 | 0 | 5 |
Charts of Selected Breakout Stocks
| TTD's Quality Rating of Stock - MEI - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - HRTG - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - WETF - ABOVE AVERAGE |
| TTD's Quality Rating of Stock - USPH - 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 - 7
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Good number of shorts Thursday that include firms with weak earnings. Bears can be venturesome. Stock market rises slightly. Now in a consolidation phase. TTD short from Wednesday was Abercrombie & Fitch (ANF) at 20.52. Today, the stock has declined to 20.21 and is working well for bears.
Joy Global Inc., based in Milwaukee, produces mining equipment used to extract coal, copper, iron ore, gold and other minerals. Annual revenues: $3.8 billion. JOY's stock falls sharply Thursday after the company reported lower quarterly earnings. TTD sees more on the downside. 
TTD highlighted JOY as a short at our midsession video show on the Web Thursday.
The company reported earnings for the fiscal fourth quarter ending in January of 2015 declined to 24 cents a share from 48 cents a year ago.
The 24 cents was well below the consensus estimate of 38 cents a share.
The stock gapped lower in the morning and hit an intraday low of 39.94.
The stock then worked a bit higher during the day to trim some of its loss.
JOY's tape action shows the recent block trades.
One can see the price for the blocks falling from $42.13 in the prior session to as low as 38.99 Thursday.
A key bearish trade came when a block of 69,064 shares crossed the tape at $39.34. That was down from the prior block at $42.13 on 66,170 shares.
JOY makes equipment for surface mining through its P&H Mining Equipment division and underground mining through its Joy Mining Machinery division.
This fiscal year ending in October analysts have been forecasting a 3% decline in net to $3.19 a share from the prior year. However, that estimate could come down. Net for the upcoming fiscal second quarter ending in April is projected to rise 7%.
The company has come in under the consensus estimate the past four quarters.
JOY's daily chart shows the stock trending lower from 62 back in September to 40 by January. The stock then trended sideways. However, today, it gaps below support with heavy volume. The stock's TTD momentum indicator (top of chart) is strongly bearish.
Strategy Opinion: TTD is targeting JOY or a decline to 34 within the next few months, or sooner. A protective stop buy can be placed near 41.60.
| TTD's Quality Rating of Stock - JOY - BELOW AVERAGE |
TTD columnist Leo Fasciocco has covered the stock market for over 20 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.)
