Daily - Go to TTD's Tape of  Stock Charts - Tuesday, April 14, 2015

Daily - Bullish Investors  - Go To TTD Pre-Market Opening Breakout Watch  List and Performance - Tuesday, April 14, 2015

Ticker Tape Digest

Tuesday - April 14, 2015

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.

  Breakout Stocks

Total Buy Breakouts so far today - 4

Overall Quality of Breakouts - AVERAGE

Stocks Screened - 8,300

Bull side - Breakout list small and very selective. Bulls be conservative. Stock market remains in a trading range. Keep alert now as earnings start to flow.

 (Put mouse on Dow chart to see Nasdaq chart)

Long Term Environment for bulls:  Favorable

    Stock Market Momentum

Market (Daily) - NYSE Bullish, Nasdaq Bullish

Market (Weekly) - NYSE Bearish, Nasdaq Bearish

Market  (Monthly) - NYSE Bullish, Nasdaq Bullish 

Ticker Tape Digest's

Timely Breakout Stocks From Tape Action - Tuesday

(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

Marketaxess Holdings Inc. (MKTX) - 89.30, up 1.15 - Breakpoint 89.11

Net to Climb 29% This Year, TTD Targets 105

     MKTX, based in New York, operates electronic trading platforms for bonds and fixed-income securities. Annual revenues: $262 million. MKTX's stock breaks out today from a five-week double-bottom base. The move carries the stock to a new  all-time high. That is bullish.

  TTD highlighted MKTX as a breakout at our midsession video show on the Web Tuesday.

  So far today, MKTX is trading 263,645 shares. Its average daily volume is 200,000 shares.

  The stock has a beta of 0.65 versus 1.00 for the stock market. So, MKTX tends not to be volatile.

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

  The stock hit an intraday peak of 90.16 in the morning.

  Then later in the day it drifted back a bit.   

  TTD's clip of the tape shows the recent block trades.

  One can see the price for the blocks climbing from $87.75 to as high as $89.87.

  A key bullish trade came late on Monday when a block of 1,100 shares crossed the tape at $88.

  That was up from the prior block trade at $87.75 on 1,000 shares.   

  Then late on Tuesday a block of 22,264 shares (duplicated) crossed the tape at $89.30.

  That came on a down tick from the prior trade of 100 shares at $89.32.

  However, in after-hours trading a block of 1,200 shares crossed at $89.87. That was up from the prior trade at 89.24 on 500 shares. (not shown in table)

  MKTX operates an electronic trading platform for corporate bonds and certain other types of fixed-income securities.

 The system provides active institutional investor clients access to the liquidity provided by broker-dealer clients.

 The trading platform allows institutional investor clients to simultaneously request competitive, executable bids or offers from multiple broker-dealers, and to execute trades with the broker-dealer of their choice.

 The company offers clients ability to trade U.S. high-grade corporate bonds, European high-grade corporate bonds, credit default swaps, high-yield and emerging markets bonds.  The firm  also provides data and analytical tools.

  MKTX's 12-month performance chart shows the stock appreciating 64% versus an 18% gain for the S&P 500 index.

  One can see some heavy insider buying recently. (green bars on performance chart)  When heavy insider buying took place back in August the stock moved steadily higher. Of course, there has been steady insider selling too.

  MKTX's long-term chart shows the stock peaking at 19 in 2007, the top in the prior bull market. The stock then fell back to 3.96 in 2008 due to the severe bear market.

  However, since then MKTX's stock has pushed aggressively higher. It ran up to a peak of 71 in 2013.

   It pulled back and then came on again. Today, it hits a new all-time high of 90.16.  The new high could draw in more buying Wednesday.

  NKTX's daily chart shows the stock advancing from 66 back in December to 89 by March.

  The stock then put down a flat base above its rising 50-day moving average line. That is a good setup.

  The breakout today clears resistance with good volume.

  MKTX's TTD momentum indicator (top of chart) is strongly bullish.

  The accumulation - distribution line (bottom of chart) is extremely bullish.

   This year, analysts are forecasting a 29% jump in earnings to $2.54 a share from $1.97 a year ago. The stock sells with a price-earnings ratio of 35. That is high. So, the stock is best suited for aggressive investors.

  Going out to 2016, the Street looks for an 18% gain in profits to $2.99 a share from the anticipated $2.54 this year.

  Net for the upcoming first quarter should leap 38% to 63 cents a share from 46 cents a year before. The highest estimate on the Street is at 64 cents a share.

  TTD sees chances for an upside earnings surprise. The company topped the consensus estimate two out of the past three quarters recently. (see table)

  Looking ahead to the second quarter, analysts expect a 32% gain in profits to 63 cents a share from 48 cents a year ago.

  Strategy Opinion: TTD is targeting MKTX for a move to 105 off this breakout. A protective stop can be placed near 84.

  TTD rates MKTX an average intermediate-term play.

  Sponsorship: Excellent. The largest fund buyer recently was the 5-star rated Lord Abbett Developing Growth A Fund which purchased 457,955 shares. It has a 1.4% stake.

  Also, the 5-star rated Primecap Odyssey Aggressive Growth Fund was a recent buyer of 177,252 shares. It has a 2.4% stake.

  MKTX has 37.3 million shares outstanding. Institutions hold around 95% of the stock.

  Insider Activity: Bearish. Insiders were recent buyers using stock options at $10. They were sellers at $80 to $85 recently.

  Currently, 5 analysts follow the stock, one has a buy, the same as three months ago. MKTX has a book value of $8.96.

Stock Performance Chart with Quarterly Earnings Markers.

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 - 8,300

Long-Term Environment for bears: Unfavorable.

Bear Side - Small list of breakdown stocks today. They move lower on disappointing earnings and revenues. Bears be selective.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Norfolk Southern Corp. (NSC) - 99.69, down 5.18

Cuts Profit Outlook, TTD Sees Decline to 82

  NSC, based in Norfolk, Va., operates the two major freight railroads, Norfolk Southern Railway Company and Norfolk Western Railway Company. Annual revenues: $11.6 billion. NSC's stock falls sharply today after the company cut its earnings outlook for the first quarter. TTD sees more on the downside.

  TTD highlighted NSC as a short at our midsession video show on the Web Tuesday.

  So far today, NSC is trading a heavy 8 million shares, about four times its average daily volume of 2.1 million shares.

  The company said it expects first quarter earnings per share of $1.

  That would be down from the $1.17 a share a year ago.

  Most importantly, it was below the consensus estimate on the Street of $1.31 a share - and also the lowest estimate of $1.24 a share. That is a very bearish fundamental.

  NSC fell sharply in the morning and hit an intraday low of 97.81. Then in the afternoon it lifted modestly.

  NSC's tape action shows the recent block trades.

  One can see the price for the blocks falling from $106 in the prior session to as low as $98.17.

  A key bearish trade came late on Monday when a block of 88,188 shares crossed the tape at $104.87.

  That was down from the prior block trade at $106 on 50,000 shares.

  NSC handles raw materials, intermediate products, and finished goods. It operates 20,000 miles of road in 22 states and the District of Columbia.

 The company also operates scheduled passenger trains; transports overseas freight through various Atlantic and Gulf Coast ports; and provides logistics services. In addition, it provides bimodal truckload transportation services primarily utilizing RoadRailer trailers.

  This year, analysts were forecasting a 6% rise in net to $6.80 a share from $6.39 a year ago. However, that forecast should come down. Net for the upcoming second quarter is expected to rise a modest 3% to $1.84 a share from $1.79 a year ago.

    NSC's daily chart shows the stock gapping lower with big volume and undercutting technical support. The stock's TTD momentum indicator (top of chart) is bearish.

Strategy Opinion: TTD is targeting NSC for a decline to 82 within the next few months, or sooner. A protective stop buy can be set near 112.

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. - 2014

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.)