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.
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)
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 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 email@example.com. For service, email Beverly Owen firstname.lastname@example.org. TTD’s Tel: 1-480-926-1680.
Total Buy Breakouts so far today - 13
Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list large with some good looking plays. Stock market still in consolidation pattern. Earnings to come now.
(Put mouse on chart to Nasdaq)
Environment for bulls: Neutral
Stock Market Momentum
Market (Daily) - NYSE Bearish, Nasdaq Bearish
Market (Weekly) - NYSE Bearish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
TTD's Quality Rating of Stock - MPWR - ABOVE AVERAGE
MPWR, based in San Jose, Ca., makes integrated power semiconductor solutions and power delivery architectures. Annual revenues: $372 million. MPWR's stock breaks out Monday and hits a new all-time high.
That is very bullish.
So far today, MPWR is trading a heavy 652,151 shares, more than double its average daily volume of 273,000 shares.
MPWR's stock broke out in the morning but then faded back. (see 10-minute chart)
The stock then moved higher in the afternoon and closed near its high for the day.
MPWR's tape action shows the recent block trades.
One can see the price for the blocks climbing from $87.29 in the prior session to as high as $87.54.
A key bullish trade came late on Friday when a massive block of 61,700 shares (duplicated) crossed at $87.54.
That was up from the prior block trade at $87.29 on 2,400 shares.
Near the close Monday a massive block of 206,276 shares (duplicated) crossed the tape at $88.33.
That actually came on an up tick from the prior trade at $88.32 on 100 shares.
MPWR makes power solutions for systems found in industrial applications, teleco infrastructures, cloud computing, automotive and consumer applications.
The firm also makes high-performance power solutions for the communications, storage and computing, consumer and industrial markets segment.
Its products include Direct Current to DC Products, and Lighting Control Products and alternating current (AC)/DC Offline Solutions.
MPWR's 12-month performance chart shows the stock appreciating 44%. That is better than the 21% gain for the stock market.
MPWR's chart shows heavy insider buying early in 2016. That was reflective of buying using stock options. The price was not disclosed.
The selling by insiders was steady during 2016.
MPWR's long-term chart shows the stock breaking our of its long-term consolidation in 2013 at $24.
The stock has since been trending steadily higher having made almost a fourfold move since 2012. The push to a new all-time high is bullish.
MPWR's daily chart shows the stock breaking through resistance at $87.70.
The stock's flat base was set up above a rising 50-day moving average line.
That shows the stock, on a daily basis, remains in a good up trend.
The CCI momentum indicator (bottom of chart) is solidly bullish.
Analysts are forecasting 2016 earnings will jump 43% to $1.24 a share from 87 cents a year ago.
The stock sells with a price-earnings of 70. That is high. So, the stock is best for aggressive investors. \
Net for the fourth quarter should surge 73% to 35 cents a share from 20 cents a year before.
The highest estimate on the Street is at 36 cents a share for the quarter. The company is erratic some time with quarterly earnings. So, the stock should be watched closely.
Going out to 2017, the Street is predicting a 46% surge in net to $1.81 a share from the anticipated $1.24 for 2016.
Profits for the first quarter of 2017 should be up 28% to 33 cents a share from 26 cents the year before.
Strategy Opinion: TTD is targeting MPWR for a move to $108 within the next few months off this breakout.
A protective stop can be placed near 83. TTD rates MPWR a good intermediate-term play provided earnings remain on course.
Suitability: Aggressive Bulls.
TTD's special research of MPWR's Stock's Prior Performance after a Breakout:
TTD's research shows that recently MPWR has tended to have modest gains off its breakouts. However, at times the stock has shown the potential to rack up a 20% gain or more. (see table)
The stock is in a massive bull market having soared from $10 back in 2011 to $88.33. That is impressive showing MPWR's long-term move.
MPWR Stock's Prior Performance After A Breakout
Stock's % Change from Breakout to peak - prior to cut below 50-day M/A.
Date of Breakout
Break point Price
Stocks Price Peak after Breakout - prior to cut below 50-day M/A
Date Trade Closed
(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
|TTD's Quality Rating of Stock - ADBE - ABOVE AVERAGE|
|TTD's Quality Rating of Stock - HD - AVERAGE|
|TTD's Quality Rating of Stock -GOOG - 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 - 8
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Breakdown list small and very selective. Bears be conservative. Earnings will be coming in soon.
NLSN, based in New York, provides marketing content services. Annual revenues: $6.3 billion. NLSN's stock declines Monday and undercuts key technical support. So far today, NLSN is trading a heavy 4.1 million shares, almost double its average daily volume of 2.3 million.
TTD highlighted NLSN as a short at our midsession video show on the Web Monday.
NLSN's stock fell sharply in the morning and continued South until late in the morning. It touched an intraday low of $40.43.
In the afternoon, the stock rallied until about 1 p.m., but then rolled over and finished near its low for the session.
NLSN's tape action shows the recent block trades. One can see the price for the blocks falling from $40.97 in the prior session to as low as $40.50 Monday.
A key bearish trade came late on Friday when a block of 151,098 shares (duplicated) crossed the tape at $40.95.
That was down from a prior block in the sequence at $40.97 on 10,200 shares.
Then near the close at massive block of 176,816 shares (duplicated) crossed the tape at $40.54.
That came on a slight up tick from the prior trade at $40.53 on 100 shares.
NLSN provides clients with information suitable for its consumers.
The company's research includes what consumers buy via market research information and analytical services.
It also covers what consumers watch and listen to via television, radio, online and mobile audiences.
Analysts are forecasting that NLSN will come in with a 3% increase in net for 2016 to $2.64 a share from $2.55 a year ago.
For 2017, they look for a 3% decline in profits to $2.55 a share from the anticipated $2.64 a share for 2016.
NLSN's daily chart shows the stock gapping lower in October after reporting earnings. The stock eventually decline to the low 40s. Monday, NLSN cuts below key technical support with a pick up in volume.
NLSN's 12-month performance chart shows the stock declining 8% versus an 18% gain for the stock market.
Insiders were heavy sellers in August prior to the stock's decline.
Strategy Opinion: TTD is targeting NLSN for a decline to 34 within the next few months, or sooner. A protective stop buy can be placed near $42.50.
Suitability: Aggressive Bears.
|TTD's Quality Rating of Stock -NLSN - BELOW AVERAGE|
Stock Performance Chart with Quarterly Earnings Markers vs. S&P 500
Insider Buying in Green - Insider Selling in Red
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.)