Daily - Go to TTD's Chart scroller of  Breakout Stocks - Wednesday, April 5, 2017

Daily - Bullish Investors  - Go To TTD Pre-Market Opening Breakout Watch  List and Performance - Wednesday, April 5, 2017

Daily - Bullish Aggressive Investor - Go To TTD Quick Trade Setups (74% win rate) - Wednesday, April 5, 2017

Ticker Tape Digest

Wednesday - April 5, 2017

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.

 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.

Wednesday - April 5, 2017

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts so far today - 6

Quality of Breakouts -  Below Average

Stocks Screened - 12,234

Bull side - Daily charts turn bearish. The long-term trend remains bullish.

Stock market - Market rose in the morning on good economic report. However, it fell sharply in the afternoon.  Some point the finger at the problem in Syria and the gas attack and President Trump's comments.

Stock Market Momentum

Based on 14-unit moving average

Ticker Tape Digest's

Timely Breakout Stocks From Tape Action - Wednesday

(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

McDonalds Corp. (MCD) - 130.41, up 1.12 - Breakpoint 130.02

Nears New All-Time High, TTD Targets 142

  MCD, based in Oak Brook, Ill., operates and franchises fast food restaurants. Annual revenues: $24.6 billion. MCD's stock rises Wednesday and breaks out from a six-week flat base. The move carries the stock close to a new all-time high.

  TTD highlighted MCD as a breakout at our midsession video show on the Web Wednesday.

  The stock touched an intraday high of $131.58. That was close to its all-time high set back on May 9, 2016 at $131.95.

  So, a push to a new all-time high would be very bullish.

  So far today, MCD is trading 4.1 million shares. Its average daily volume is 3.7 million shares.

  MCD's stock rose in the morning and broke out above its breakpoint line. (see 10-minute chart)

  The stock climbed to an intraday peak of $131.58 in the morning.

  It then trended sideways. In the mid-afternoon, the stock market fell sharply dragging MCD down.

  The stock did firm near the close.

   Tape Action

  MCD's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $129.28 in the prior session to as high as $131.44 Wednesday.

  A key bullish trade came late on Tuesday when a massive block of 434,962 shares (duplicated) crossed the tape at $129.29.

  That was up from the prior block trade at $129.28 on 34,300 shares.

  Near the close on Wednesday a block of 405,866 shares (duplicated) crossed at $130.41.

  That came on a down tick from the prior trade at $130.46 on 100 shares.

  Business

MCD's restaurants serve a locally relevant menu of food and drinks sold at various prices in over 100 countries.

The U.S. business  focuses on allowing customers to customize their sandwiches.

  MCD's high growth markets are in China, Italy, Korea, Poland, Russia, Spain, Switzerland and the Netherlands.

  The International Lead markets  includes Australia, Canada, France, Germany and the U.K.  

Charts

  MCD's 12-month performance chart shows the stock appreciating a modest 3% versus a 15% gain for the stock market.

  The stock has moved nicely higher after its past two earnings reports.

  Insiders have been buyers the past several months using stock options at $45 to $63 a share. Some options prices were not disclosed. Insiders were recent sellers at $118 to $127 a share.

  MCD's long-term chart shows the stock climbing steadily from 40 in 2007 to a peak near $100 by 2012. The stock then went into a long-term basing pattern. It broke out long-term in late 2015 and has been working higher since  

  MCD's daily chart shows the stock climbing from $120 in January to a peak near $130 by March.

  The stock put down a tight flat base. It breaks out Wednesday with a modest pick up in volume.

  The stock held its ground well considering the sharp late afternoon decline in the stock market.

  MCD's CCI momentum indicator is solidly bullish.

 Earnings Outlook

  This year, analysts are forecasting an 8% increase in net to $6.14 a share from  the $5.70 last year.

  The stock has a price-earnings ratio of 21. That is high given the earnings growth rate. However, MCD has been a consistent and conservative play for several years.

  Going out to 2018, the Street predicts a 7% increase in net to $6.58 a share against the anticipated $6.14 this year.

  Net for the upcoming first quarter should increase 8% to $1.33 a share from the $1.23 the year before.

  The highest estimate is at $1.44 a share. TTD sees good chances for an upside earnings surprise. MCD topped the consensus estimate the past four quarters by 3 cents a share, 14 cents, 7 cents and 7 cents.

  Looking out to the second quarter analysts expect a 7% rise in net to $1.55 a share from the $1.45 the year before.   

Strategy Opinion: MCD is a conservative big-cap play. TTD is targeting the stock for a move to $142 off this breakout. A protective stop can be placed near  $127.

  TTD rates MCD an average intermediate play.

Suitability: Conservative Bulls

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

Probability - Breakout Success -  Average. MCD has tended to score small gains on its breakouts. That is due partly because it is a big cap stock that has a beta of 0.73 versus 1.00 for the stock market. That means it tends to move slower than the market.

Probability - Earnings Response - Above Average. MCD has moved higher 9 out of the past 15 earnings reports.

Probability:  Seasonal Success - Average. MCD has risen 1.2% in April the past five years. It has declined an average of 1.8% in May.

           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 - 3

Stocks Screened - 12.234

Long-Term Environment for bears:  Unfavorable.

Bear Side -  Small list of breakdown stocks Wednesday. Stock market rallies strongly and then in the afternoon rolls over into the red.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Innophos Holdings Inc. (IPHS) - 47.80, down 4.42

Stock Cuts Below Support, TTD Sees Decline to 41

  IPHS, based in Cranbury, N.J., produces nutritional specialty ingredients for food, beverage, dietary supplements, pharmaceuticals and oral care. IPHS's stock falls sharply Wednesday undercutting key technical support. TTD sees more on the downside.

  TTD highlighted IPHS as a short at our midsession video show on the Web Wednesday.

  So far today, IPHS is trading 298,625 shares, about triple its average daily volume of 105,000 shares.

  IPHS's stock fell steadily through the day. The stock closed near its low for the session. That is bearish.

  Tape Action

  IPHS's tape action shows the recent block trades.

  One can see the price for the blocks falling from $52.92 in the prior session to as low as $47.80.

  A key bearish trade came in the morning when a block of 2,719 shares (duplicated) crossed the tape at $52.16.

  That was down from the prior block trade at $52.92 on 12,644 shares.

  Then near the close a big block of 16,710 shares (duplicated) crossed at $47.80.

  That was down sharply from the prior block at $49.02 on 1,624 shares.

  Business

 IPHS produces bioactive mineral and nutritional ingredients.

 The company has several principal product lines: Specialty Ingredients,  food and technical grade purified phosphoric acid, technical grade sodium tripolyphosphate and detergent Grade PPA.

 IPHS's  bioactive mineral ingredients are mineral-based ingredients for food, beverage and dietary supplement end markets that are manufactured to be readily digestible.

The company has manufacturing facilities in  the U.S., Canada and Mexico

Earnings:

  Analysts are forecasting flat earnings this year at $2.55 a share. Net for the first quarter should be flat at 66 cents a share and then up 2% in the second quarter of 2017.   

Charts:   

  IPHS's daily chart shows the stock falling sharply and undercutting key technical support with expanding volume.

  The stock's CCI momentum indicator is strongly bearish.

  IPHS's 12-month performance chart shows the stock up 50% versus a 16% gain for the stock market. So, the stock has been a good performer.

  Insiders have not been very  active the past 12-months.

Strategy Opinion: TTD is targeting IPHS for a decline to $41 within the next few months, or sooner. A protective stop buy can be placed near $50

Suitability: Aggressive Bears.

  TTD's special probability research of  IPHS's Prior Performance:  

Probability - Earnings Response -  Average. Stock rose 7 out of the past 15 earnings reports. However, it had some sharp declines after reporting earnings.

Probability:  Best Seasonal Declines - Favors Bears.  IPHS has declined 80% of the time in April and 75% in May. The average decline in April was 1% the past five years and in May 0.6%.

   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. - 2017

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.)