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 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 - 7
Overall Quality of Breakouts - Average
Stocks Screened - 8,300
Bull side - Small list of breakout stocks today, but some interesting plays. Bulls can be venturesome. Stock market mixed, but remains in overall up trend.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Neutral
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 - CLB - ABOVE AVERAGE
CLB, based in the Netherlands, provides geological services to the oil industries. Annual revenues: $907 million. CLB's stock breaks out from a 11-week flat base and hits a new all-time high. The stock is a leader. So far today, CLB is trading 648,380 shares. Its average daily volume is 454,000 shares. TTD recently featured CLB as an accumulation play.
CLB's 10-minute chart shows the stock spiking higher in the morning hitting a peak of 122.07.
The stock then backed off a bit, but then rallied around midday.
It then trended sideways late in the session holding on to the bulk of its gains for the day.
CLB's tape action shows the price for its recent big blocks climbing from $117.52 to a peak of $121.22
The key bullish trade came in the morning when a block of 5,000 shares crossed the tape at $118.30. That was up from the prior block trade at $117.52.
CLB provides geological and environmental analysis and manufactures precise measurement equipment.
The company does basic and advanced reservoir rock and fluid analyses and other geological services to the oil industry. It provides information that helps oil companies make decisions regarding the presence and amount of hydrocarbon accumulations. CLB's makes laboratory equipment used by the petroleum industry.
CLB's 12-month performance chart shows the stock appreciating 33% versus a 3% gain for the S&P 500 index. The insider activity bars shows heavy selling in early August.
CLB's long-term chart shows the stock soaring from 5 back in 2003 to a peak of $77.75 in 2007. The stock then declined to $24 during the bear market. CLB bottomed in late 2008. Since then it has climbed sharply higher. The stock's push to a new high could bring in more buying on Thursday.
CLB's daily chart shows the stock in a flat base with upside resistance clearly around 120. The base is bracketed between 105 and 120.
Today's breakout looks good with a nice widening of the spread (range from high to low) and a modest expansion in volume.
The stock's TTD momentum indicator (top of chart) is strongly bullish.
The accumulation - distribution line (bottom of chart) has been edging lower. It will be important to see that improve. So, one needs to watch the breakout closely.
CLB is poised to show solid quarterly earnings growth.
Net for the first quarter should climb 37% to $1.05 a share from 77 cents a year ago.
The highest estimate on the Street is at $1.08 a share. If CLB does surprise on the upside, TTD expects it to be just slight. It did that two out of the past four quarters.
Looking out to the second quarter of 2012, net should rise 27% to $1.15 a share from 90 cents a year ago.
For 2012, analysts project a 30% gain in net to $4.72 a share from $3.63 in 2011. The stock sells with a price-earnings ratio of 24. TTD sees that as attractive for value-growth investors.
Look ahead to 2013, net is projected to rise 19%.
Strategy Opinion: TTD is targeting CLB for a move to 150 after a breakout. A protective stop can be placed near 112.
With a solid earnings outlook, TTD rates CLB a good intermediate-term play.
Sponsorship: Good. A key buyer recently was 4-star rated Scout International Fund which purchased 543,456 shares. Also, 5-star rated Delaware Smid Cap Growth Fund purchased 54,000 shares. The largest fundholder is American Funds Growth Fund of America with a 4.6% stake. However, the 3-star rated fund was a recent seller of 100,000 shares. CLB has 46.6 million shares outstanding. Institutions hold 89% of the stock.
Insider Activity: Neutral. Insiders have not been active since July, at which time they were sellers around $109. Nine analysts follow the stock, 2 have a buy, the same as three months ago.
Stock Performance Chart with Quarterly Earnings Markers
Insider Activity - Buying in Green - Selling in Red
|TTD's Breakout Profile
Core Laboratories N.V. - (CLB)
|TTD Check List||Bullish||Bearish||Neutral|
|Near 52-week High||YES|
|Price Trend - Daily||YES|
|Price Trend - Long Term||YES|
|Price Daily Spread||YES|
|Base - A-D||YES|
|Prior Breakout Success||YES|
Charts of Selected Breakout Stocks
|TTD's Quality Rating of Stock - CYBX - AVERAGE|
|TTD's Quality Rating of Stock - RL - AVERAGE|
|TTD's Quality Rating of Stock - HCSG - AVERAGE|
|TTD's Quality Rating of Stock - CONN - 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 - 2
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Small list of breakdown stocks. However, the bear plays have gotten hammered down today. Bears be conservative.
OPNT, based in Bethesda, Md., produces software used for communications. Annual revenues: $162 million. OPNT's stock falls sharply today after the company reported net for the fiscal third quarter ended December 31 below Street estimates. So far today, OPNT is trading a heavy 1.7 million shares, five times its normal daily volume of 233,000 shares. TTD sees more on the downside.
TTD highlighted OPNT as a short at our midsession video show on the Web Wednesday.
OPNT reported earnings for the fiscal third quarter rose to 23 cents a share from 19 cents a year ago.
However, the 23 cents a share was below the 29 cents a share expected by the Street.
The stock moved sharply lower in the morning and hit an intraday low of $31.21. The stock then trended sideways the rest of the day.
The tape action shows the price for the big blocks declining from $38.08 to $32.50. A key bearish trade came in the morning when a block of 8,638 shares (duplicated) crossed the tape at $34. That was down from the prior block trade at $37.90. The tape action indicated heavy institutional selling pressure.
OPNT makes predictive network management software solutions that enable firms to optimize the performance of communications networks and networked applications.
The company's OPNT product suite consists of three primary software solutions: OPNET IT DecisionGuru, OPNET Modeler, and OPNET Netbiz.
For the fiscal year ending March of 2012, the Street has been forecasting a 66% jump in net to 99 cents a share from 60 cents a year ago. That estimate should come down
OPNT's stock shows a severe breakdown in November with a gap move. The stock then trended sideways. However, today, it gaps lower once again with big volume off the earnings news. The stock's accumulation - distribution line (bottom of chart) is trending lower indicating clear selling pressure.
Strategy Opinion: TTD is targeting OPNT for a decline to 27 within the next few months, or sooner. A protective stop buy can be placed near 33.70.
|TTD's Quality Rating of Stock - OPNT - 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.”
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(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.)