Ticker Tape Digest

Thursday - June 9, 2022

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 Accumulation 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 Swing - 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 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: 1-480-878-8381 or 480-704-3331.

Thursday - June 9, 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakout Stocks - None

Quality of Breakouts - None

Stocks Screened -  6,500

Bull side - Big drop in the market. No breakouts as many stocks fall sharply.

Stock market - Major averages attempt to rally snuffed out. Major averages now bearish in all time zone.

Comment - Bulls be patient waiting for the market to bottom. Bears can be aggressive now as market is rolling over again.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Today's key earnings beats: SIG.

Stock Market Momentum

(Daily is based on a moving average)

Ticker Tape Digest's

Timely Breakout Stocks From Tape Action

(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 near breakpoint by using market order or stop buy.  They can also be bought soon after a follow through move, sometimes on an intraday pullback.

Thursday Breakouts

None

TTD's Features a Stock Near Its Breakpoint

 Beacon Roofing Supply Inc. (BECN)

BECN - 63.64, up 0.18, Breakpoint 63.57

Net to Climb 36% This Year, TTD Targets 74

  BECN, based in Herdon, Va., is a distributor of roofing materials. Annual revenues: $1.8 billion. BECN's stock moves higher Thursday. The stock broke out three sessions ago and is now holding above its breakpoint line.   

TTD highlights BECN because there were no breakout stocks Thursday as the stock market falls sharply.

  So far today, BECN is trading a light 287,259 shares. Its average daily volume is 543,000 shares.

  BECN's stock moved higher in the morning and reached a peak at $64.71 around noon.

  The stock then backed off late in the day as the stock market fell.

  In after-hours trading, BECN was up $2.69 a share.

   Tape Action

  BECN's tape action shows the recent block trades.

  One can see the price for the blocks rising from $63.25 in the morning to as high as $64.47 in the afternoon.

  A key bullish trade came in the morning when a block of 1,161 shares crossed the tape at $63.97.

  That was up from the prior block 63,25 on 2,224 shares.

  Near the close a big block of 23.334 shares crossed at $63.64.

  That was up from the prior block trade at $63.61 on 1,100 shares. 

  Business 

  BECN sells residential and non-residential roofing materials, along with building products in the U.S. and Canada.

 The company is one of the oldest and most recognized distributors in the industry.

 BECN buys products from a large number of manufacturers and then distributes them to customers including contractors, home builders, retailers as well as building materials suppliers.     

Charts

  BECN's 12-month performance chart shows the stock up 15% versus a loss of 5% for the stock market.

  Insiders were recent buyers using stock options at $30 a share and in the open market a $58

  They were sellers at $62 to $63 a share recently.  

  BECN's long-term chart shows the stock rising from $33 a share in 2016 to a peak at $66 by 2018.

 The stock the tumbled down to $12 in 2020 when the stock market fell.

  The stock then rallied back to $65 recently and based..

  HAL's daily chart shows the stock rising from $52 in February to $63

  It formed a base with two shakeouts to the downside.

  BECN broke out three sessions ago, but then slipped back into the base.

  Thursday it reemerges from the base.

  That is good action considering the big drop in the stock market Thursday.

  The stock's CCI  momentum indicator is modestly bullish..

  Earnings Outlook

  BECN's net this year should climb 36% to $6.58 a share from the $4.83 the year before.

  For 2022, analysts project a modest 2% increase in net to $6.74 a share from the anticipated $6.58 this year.

 For the second quarter, analysts expect a 45% surge in net to $2.31 a share from the $1.59 the year before.

 Then in the third  quarter net should climb 26% to $1.93 a share from the $1.53 the prior year.

Strategy Opinion: TTD is targeting BECN for a move to $74 within the next few months, or sooner.

 A protective stop can be placed near $61.

Intermediate-Term Rating: Average.

Suitability:  Average Bulls.

TTD's special research of Stocks Prior Performance: 

                  Stock's Prior Performance After a Breakout