Ticker Tape Digest

Wednesday - July 1, 2020

TTD does not publish Thursday, a short session. Friday, the market is closed. We resume Monday.

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 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.

Wednesday - July 1, 2020

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  8

Quality of Breakouts -  Average.

Stocks Screened - 12,234

Bull side -  Large list of breakouts with some interesting plays for aggressive bulls.

Stock market  -  Major averages are bullish, except for the daily and monthly Dow, which are bearish.

Comment -  Large list of breakouts with some interesting lays for aggressive bulls.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats -  SCHN, FIZZ, STZ and GIS.

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. )  

Today's Featured TTD Breakout Stock

Activision Blizzard Inc. (ATVI) - 78.03, up 2.13 - Breakpoint 76.15

Net To Climb 23% This Year, TTD Targets 95

  ATVI, based in Santa Monica, Ca., publishes interactive entertainment content. Annual revenues: $6.5 billion. ATVI's stock moves higher Wednesday and breaks out from its eight-week, double-bottom base.

  The stock is close to a new all-time high. So far today, ATVI is trading 10.2 million shares. Its average daily volume is 7.5 million shares.

TTD sees potential for more on the upside.

  ATVI's 10-minute chart shows the stock punching through its breakpoint in the morning.

  The stock climbed to an all-time high $78.23 late in the day.

  Tape Action

  ATVI's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $75.30 in the morning to as high as $78.03 near the close.

  A key bullish block came in the morning when a block of 15,836 shares crossed the tape at $76.

  That was up from the prior block at $75.30 on 13,200 shares.

  Then near the close a massive block of 565,169 shares crossed the tape at $78.03.

  That was up from the prior block at $77.96 on 44,119 shares.

    Business

 ATVI has various gaming platforms, including video game consoles, personal computers and mobile devices.

 Its segments include Activision Publishing, Inc. and Blizzard Entertainment, Inc.

  The firm It is in other businesses, including The Major League Gaming business; Activision Blizzard Studios  and The Activision Blizzard Distribution business.

  Charts

  ATVI's 12-month performance chart shows the stock up 60% versus a 5% gain for the stock market.

  Insiders were recent buyers at $67 to $73 a share and using stock options at $10 to $41 a share.

  They were sellers at $72 to $52 a share.

  ATVI's long-term chart shows the stock rising from $10 in 2012 to an all-time high of $84 in 2018.

  The stock then fell back to $39 in 2019. The stock has since made a big come back and is poised to make a new high.

  ATVI's daily chart shows the stock rising from $50 in March to a peak at $76 by May.

  The stock formed a double-bottom base.

  It broke out a few sessions ago, but then pulled back.

  Wednesday, ATVI broke out and cleared its breakpoint.

  ATVI's CCI indicator is solidly bullish.

   Earnings Outlook

  This year, ATVI's earnings should rise 23% to $2.77 a share from the $2.25 the prior year.

  ATVI's price-earnings ratio is 28.

  Looking out to 2021, the Street expects a 10% increase in net to $.3.04 a share from the $2.77 this year.

  Quarterly earnings will be strong.

  Net for the second quarter should leap 76% to 67 cents a share from the 38 cents the prior year.

  The highest estimate on the Street is at 73 cents a share. ATVI topped the Street estimate the past four quarters by 19 cents a share, 3 cents, 7 cents and 12 cents.

  Profits for the third quarter should be up 22% to 39 cents a share from the 32 cents the previous year.

Strategy Opinion:  TTD is targeting ATVI for a move to $95 within the next few months, or sooner.

A protective stop can be placed near $73.

Intermediate-Term Rating: Average.

Suitability:   Average Bulls.

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

           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 Price Performance after Reporting Earnings

 Stock's Performance Chart with Quarterly Earnings Markers vs. S&P 500

Insider Buying in Green  -  Insider Selling in Red

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  -  4

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side -  Small list of shorts, but some interesting plays for aggressive bears.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

United States Steel Corp. (X)  - 6.88

Loss Seen This Year and Next, TTD Sees Drop to 4.80

  X, based in Pittsburgh, produces steel. Annual revenues: $12.9 billion. X's stock falls Wednesday and undercuts key technical support. TTD sees more on the downside.

  So far today, X is trading 16.9 million shares. Its average daily volume is 21.6 million shares.

  TTD sees more on the downside.

  X's stock moved higher in the morning to $7.25.

  However, the stock then took a dive down to an intraday low of $6.88 around midday.

  The stock lifted slightly in the afternoon.

  Tape Action

  X's tape action shows the recent block trades.

  One can see the price for the blocks falling from $7.22 in the prior session to as low as $6.84 in the afternoon.

  A key bearish trade came in the morning when a block of 137,164 shares (duplicated) crossed the tape at $7.16.

  That was down from the prior block in the prior session at $7.22 on 627,315 shares.

   Business

  X makes flat-rolled and tubular steel products in North America and Europe.

 The Company operates through three segments: flat-rolled products, U. S. steel Europe and tubular products.

 X produces slabs, rounds, strip mill plates, sheets and tin mill products, as well as all iron ore and coke in the U.S.

  Earnings:

  This year, analysts are forecasting a loss of $5 a share compared with a profit of 9 cents the prior year.

  Looking out to 2021, the Street predicts a loss of $1.56 a share.

  For the upcoming second quarter, X is expected to post a loss of $2.60 a share versus a profit of 45 cents the prior year.

Charts:  

  X's daily chart shows the stock falling from $11 earlier this year down to $6.78 in March. The stock worked its way back to $10.95 in June. It has since fallen back and set up a head-and-shoulder pattern.

  The stock now breaks down.

Strategy Opinion: TTD is targeting X for a decline to $4.80. A protective stop buy can be placed near $7.20.

Suitability:  Aggressive Bears.

  TTD's Stock Probability research of Prior Performance:  

   Stock's 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. - 2020

    TTD columnist Leo Fasciocco has covered the stock market for over 30 years. His articles appear in many publications. He has also been  a speaker at the Money Show 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 1-480-878-8381.

   Distributed by Corona Publishing Enterprises. TickerTape Digest Inc. 1220 W. Sherri, Gilbert, Az. 85233.

  TTD “Professional Report” is available on the Web: $100 per month. Password needed. Published daily - around 20 times a month.  

 TTD Pro Report includes a Morning chart slide show of breakout stocks, a Midsession video-audio show with commentary on breakout stocks and shorts and a Final end of day overall report on breakout stocks for the session, short plays and accumulation plays.  There are other features too such as Quick Trades and Long-term Plays.  

TTD Daily Report is $39. It covers a Morning slide show of charts of stocks breaking out and a TTD end of day print report covering breakout stocks and shorts.

 Credit cards accepted. Payable to Corona Publishing Enterprises.

(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.)