Ticker Tape Digest

Tuesday - February 16, 2021

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.

Tuesday - February 16, 2021

TTD's Breakout Stocks

  Stock Market Overview

Total Buy Breakouts   -  26

Quality of Breakouts -  Above Average.

Stocks Screened - 12,234

Bull side -  Large list of breakouts with some good looking plays.

Stock market  -  Market remains bullish in all time zones.

Comment -  Bulls can be aggressive going after good looking breakouts.

See Latest Earnings Reports -  A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats -  RXN, DAC, CEVA, ARD and NMIH.

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

Caterpillar Inc. (CAT) - 202.38, up 4.39 - Breakpoint 199.78

Net To Climb 21% This Year, TTD Targets 235

  CAT, based in Deerfield, Il., makes construction and mining equipment. Annual revenues: $41.7 billion. CAT's stock drives higher Tuesday and breaks out from its seven-week, cup-and-handle base.

  The move carries CAT to a new all-time high. That is bullish.

  TTD highlighted CAT as a breakout at our midsession video show.

  CAT is trading 3.7 million shares. Its average daily volume is 2.9 million shares.

  TTD sees good potential for more on the upside.

  CAT's stock shot higher in the morning and cleared its breakpoint line.

  The stock reached an in traday high in the morning at $205.18.

  The stock backed off and then trended sideways close to $202.

  In after-hours trading, CAT was up 62 cents a share.

  Tape Action

  CAT's tape action shows the recent block trades.

  One can see the price for the blocks climbing from $197.99 in the prior session to as high as $205.

  A key bullish trade came in the morning when a blcok of 54,964 shares (duplicated) crossed the tape at $199.75.

  That was up from the prior block the prior session at $197.99 on 175,910 shares (duplicated).

  Near the NYSE close a block of 284,115 shares crossed at $202.38.

  That came on an up tick from the prior trade at $202.27 on 123 shares.

   Business

  CAT makes construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives.

  The equipment is used in construction, forestry and building construction.

  It also makes  machinery for worki in mining, quarry, waste and materia.

 It also produces filters and fluids, undercarriage, tires and rims, ground engaging tools, fluid transfer products, and sealing and connecting components.

    Charts

  CAT's 12-month performance chart shows the stock up 50% versus an 18% gain for the stock market.

  Insiders were recent buyers at $74 to $138 using stock options.

  They were sellers at $175 to $190 a share.

  CAT's long-term chart shows the stock climbing from $56 in 2016 to a peak at $173 in January.

 The stock then drifted lower to $87 by early 2020. However, It then turned and ha since rallied aggressively to $202.

  CAT's daily chart shows the sock climbing from $142 in September to a peak at $199 by January.

  The stock put down a cup-and-handle base.

  The breakout comes with a widening of the daily spread and expanding volume.

  The stock's CCI momentum indicator is bullish.

   Earnings Outlook

  This year, analysts predict a 21% increase in net to $7.96 a share from the $6.56 in 2020.

  The stock has a price-earnings ratio of 25 based on this year's projected net.

  Looking out to 2022, the Street projects a 29% jump in net to $10.28 a share from the anticipated $7.96 this year.

  Quarterly earnings growth will accelerate. That is bullish.

  Net for the first quarter should rise 17% to $1.87 a share from the $1.60 the prior year.

  The highest estimate is at $1.98 a share. The company beat the Street estimate the past three quarters by 66 cents a share, 19 cents and 37 cents.

  Net for the second quarter should leap 87% to $1.93 a share from  the $1.03 the prior year.

Strategy Opinion:  TTD is targeting CAT for a move to $235 within the next few months, or sooner.

A protective stop can be placed near  $198.

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

Pre-Market Breakout Watch List

Selections for - Wednesday - February 17, 2021

Ticker Tape Digest provides a list of potential breakout stocks from our screen of companies that will show some of the strongest earnings gains. One of the best ways to play these stocks is to study the list and then place a stop buy order to catch the stock on the breakout.

One can take either a full position on the breakout if they are aggressive, or scale-in looking to add to the stake later if they are conservative. TTD's premarket breakout watch list gives you a great opportunity "to be prepared for the next key breakout stock just before it happens." The list will be updated daily and the screen monthly.

TTD's Breakout Watch List Set up on February 1, 2021

Latest prices are February 16, 2021

Stocks with Gain in blue have surpassed their breakpoint and have broken out of their base

Guide: Symbol=Ticker, Name=Corporate name, Entry is the buy price to enter on the breakout, Last=prior close, Change=change from last close to prior, Date=date of price of close etc, Gain in blue is price above breakpoint (entry), Gain in red is price below breakpoint (entry)., % Gain in blue is % over breakpoint (entry), Gain in red is % below breakpoint (entry)

TTD takes no responsibility for trading by those using this information. The stocks presented in our report are those we deem the best looking Trade Setups 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.

Copyright --- Ticker Tape Digest - 2021

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  - 2

Stocks Screened - 12,234

Long-Term Environment for bears: Unfavorable.

Bear Side -  Small list of shorts. Bears be conservative.

List of Stocks To Sell or Short

TTD’s Feature Bear Play

Bluebird Bio Inc. (BLUE) - 28.44

Loss Seen This Year, Drug Fails,TTD Sees Drop to 22

  BLUE, based in Cambridge, Ma., is a biotech firm working on treatments for cancer. Annual revenues: $45 million. BLUE's stock takes a dive Tuesday and undercuts key technical support.

  The sharp drop was triggered by a disappointing drug test report.

  TTD sees more on the downside even though BLUE is extended to the downside.

  TTD highlighted BLUE as a short at our midsession video show on the web.

  BLUE said its therapy work for sickle cell disease has been temporary put on hold. It said that was due to serious adverse reaction from a prior patient that used the drug.

  Also, a law firm is considering a sharehold lawsuit.

  So far today, BLUE is trading a big 18.1 million shares. Its average daily volume is 1.1 million shares.

  BLUE's stock gapped lower in the morning and touched $28.56.

  The stock rallied to $34.40 shortly afterwards.

  However, it then worked gradually lower the rest of the day.

  In after-hours trading BLUE was up 89 cents a share.

  Tape Action

  BLUE's tape action shows the recent block trades.

  One can see the price for the blocks falling from $45.76 in the prior session to as low as $28.44 by the close.

  A key bearish trade came in the morning when a block of 89,492 shares (duplicated) crossed at $33.50.

  That was down sharply from the prior block at $45.76 on 74,334 shares.

   Business

  BLUE develops gene therapies for severe diseases and cancer. With its lentiviral-based gene therapy and gene editing capabilities, it has built an integrated product platform with various applications.

 The company's clinical programs in severe genetic diseases include its LentiGlobin product candidate to treat transfusion-dependent b-thalassemia and to treat severe sickle cell disease and its Lenti-D product candidate to treat cerebral adrenoleukodystrophy).

 Earnings:

  This year, analysts predict BLUE will report a loss of $11.67 a share compared with an expected loss of $10 a share for 2020.

  For the fourth quarter, they expect a loss of $3.01 a share and in the first quarter a loss of $3.07 a share.

Charts:  

  BLUE's daily chart shows the stock trending lower from $60 down to around $41. The stock tried to form a bottom, but now gaps lower with big volume. That is very bearish.

  BLUE's 12-month performance chart shows the stock down 65%.   

Strategy Opinion: TTD  is targeting BLUE for a decline to $22 within the next few months, or sooner. A protective stop buy can be placed near $31.

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. - 2021

    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 1-480-704-3331.

   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.)