Daily - Go to TTD's Tape of Stock Charts - Wednesday, April 10, 2013 |
Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, April 8, 2013 |
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 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 - 13
Overall Quality of Breakouts - Average
Stocks Screened - 8,300
Bull side - Good number of breakouts today. Bulls be venturesome. Stock market pushes higher as Monetary sparked bull market continues.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
(See Top Performing Breakout Stocks for 2011- 2012)
TTD's Quality Rating of Stock - PRLB - ABOVE AVERAGE |
PRLB, based in Maple Plain, Min., makes custom parts for prototyping and short-run production. Annual revenues: $126 million. PRLB's stock breaks out today from a nine-week flat base. The move carries the stock close to a new all-time high.
So far today, PRLB's stock is up sharply. Volume is running at a heavy 1.4 million shares, triple its normal daily volume of 392,000 shares.
PRLB's stock advanced in the morning and around midday punched through its upside breakpoint line. The stock continued to move higher in the afternoon.
In the late afternoon, the stock trended sideways holding its gain.
PRLB's tape action shows the recent big block trades.
One can see the price for the blocks driving higher from $45.73 a few days ago to as high as $52.23.
A key bullish trade came in the morning. That is when a block of 4,900 shares crossed the tape at $51. That was up from the prior block trade at $47.12.
Near the close another bullish block trade crossed when 9,936 shares hit at $52.23. So, there was strong institutional buying into the closing bell.
PRLB is an online and technology-enabled quick-turn manufacturer of custom parts for prototyping and short-run production.
It produces CNC machined and injection molded plastic parts.
The company targets its services to product developers who use three-dimensional computer-aided design to develop products.
The company operates in the U.S., U.K., Germany, Japan, Italy, France, and Spain.
PRLB's 12-month performance chart shows the stock appreciating 57% versus an 18% gain for the S&P 500 index.
PRLB's stock came public in February of 2012 and traded around 25. The stock proceeded to trade in a wide range until it broke out long-term through resistance near 34. Since then the stock has been working higher.
PRLB's daily chart shows the stock advancing steadily from 30 to a peak of 53 in February.
The stock then pulled back and formed a tight flat base above its rising 50-day moving average line.
The breakout today comes with expanding volume and a widening of the daily spread - both bullish.
The stock's TTD momentum indicator (top of chart) is solidly bullish.
The accumulation - distribution line (bottom of chart) is in a strong up trend showing there is good underlying buying.
This year, analyst are forecasting a 41% jump in net to $1.34 a share from 95 cents a year ago. The stock sells with a price-earnings ratio of 38. That is reasonable given the earnings growth rate.
Going out to 2014, profits are projected to climb 24% to $1.65 a share from the anticipated $1.34 this year.
Quarterly, PRLB is poised to show an acceleration in growth. Net for the first quarter should rise 45% and then in the second quarter 63%.
For the first quarter, profits should come in at 32 cents a share, up from 22 cents a year before. The highest estimate on the Street is at 34 cents a share.
Net for the second quarter should rise to 33 cents a share from 20 cents a year ago.
Strategy Opinion: TTD is targeting PRLB for a move to 62 within the next few months, or sooner. A protective stop can be placed near 47.
TTD rates PRLB a very good intermediate-term play provided earnings remain on course.
Sponsorship: Very Good. The largest fund holder is 3-star rated American Funds Smallcap World Fund with a 4.1% stake. It recently took a new position and bought 1 million shares. The second largest holder is Lord Abbett Developing Growth Fund with a 2.6% stake. It recently purchased 200,474 shares.
PRLB has 25.1 million shares outstanding. Institutions hold 70% of the stock.
Insider Activity: Bearish. Insiders were recent buyers using stock options priced between $1.79 a share - yes, $1.79 and $16. They were recent sellers around $49. Currently, 6 analysts follow the stock, 3 have a buy, down from 5 three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
TTD's Breakout Profile
Rating Proto Labs Inc. - (PRLB) |
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 | 14 | 0 | 0 |
Charts of Selected Breakout Stocks
TTD's Quality Rating of Stock - BEN - AVERAGE |
TTD's Quality Rating of Stock - DISCK - AVERAGE |
TTD's Quality Rating of Stock - FTI - AVERAGE |
TTD's Quality Rating of Stock - KMX - 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 - 3
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Small list of breakdown stocks today as stock market moves sharply higher. Bears remain conservative. TTD's short from Tuesday was Ecopetrol SA at 51.01. Today the stock is down 1.03 to 49.77. It is working well for bears.
TITN, based in Wells Fargo, N.D. , sells agricultural and construction equipment. Annual revenues: $2 billion. TITN's stock falls sharply today after the company reported disappointing earnings for the fiscal fourth quarter ended January 30. So far today, TITN is trading a heavy 6 million shares, 20 times its normal daily volume of 286,000 shares.
TTD highlighted TITN as a short at our midsession video show on the Web.
TITN came in with fiscal fourth quarter net of 73 cents a share, down from 84 cents a year ago. The 73 cents was well below the Street consensus of 91 cents a share and even below the lowest estimate of 88 cents a share.
The stock responded extremely bearishly to the news.
TITN's stock gapped lower in the morning. It hit an intraday low of 21.30. The stock then rallied modestly to trim its deficit.
TITN's tape action shows the recent big block trades.
One can see the price for the blocks declining from $26.16 to $21.33.
A key bearish block trade came in the morning when a block of 24,600 shares crossed the tape at 22.35. That was below the prior block at 26.16.
TITN sells agricultural, construction, and consumer products via dealerships located in the Midwest.
TITN is a dealer for Case IH, Case Construction, New Holland, and New Holland Construction.
Analysts expect net for the upcoming fiscal first quarter ending in April to be flat at 36 cents a share. Overall, net for the year they expect net to be up 21%.
TITN's daily chart shows the stock gapping lower on big volume. The heavy volume indicates institutions fleeing the stock. The TTD momentum indicator (top of chart) is very bearish.
Strategy Opinion: TTD is targeting TITN for a decline to 18 within the next few months, or sooner. A protective stop buy can be placed near 23.50.
TTD's Quality Rating of Stock - TITN - 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: B. J. 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.)