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 firstname.lastname@example.org. For service, email Beverly Owen email@example.com. TTD’s Tel: 1-480-926-1680.
Total Buy Breakouts so far today - 9
Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list selective. Stock market in a consolidation after recent strong advance. Still holds up trend.
(Put mouse on chart for Nasdaq)
Environment for bulls: Bullish
Stock Market Momentum
Market (Daily) - NYSE Bearish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
TTD's Quality Rating of Stock - MKSI - ABOVE AVERAGE
MKSI, based in Andover, Ma., makes instruments and control systems that monitor manufacturing processes. Annual revenues: $1.3 billion. MKSI's stock moves higher Thursday and clears its seven-week base. The move carries the stock to a new all-time high.
So far today, MKSI is trading 294,293 shares. Its average daily volume is 325,000 shares.
TTD highlighted MKSI as a stock to accumulate recently.
The stock cleared its breakpoint line late in the prior session. Thursday, morning it followed through and advanced to an intraday peak of $69.55.
It then backed off slightly and trended sideways the rest of the day holding above the breakpoint. (see 10-minute chart).
MKSI's tape action shows the recent block trades.
One can see the price for the blocks climbing from $68.50 in the prior session to as high as $69.40 Thursday.
A key bullish trade came in the morning when a block of 3,406 shares crossed the tape at $68.90.
That was up from the prior block at $68.50 on 4,819 shares.
Then near the close a big block of 16,023 shares (duplicated) crossed at $69.10.
That was up from the prior block at $69 on 3,000 shares.
That showed aggressive institutional buying.
MKSI makes process control solutions that measures, controls, powers, monitors and analyzes critical parameters of advanced manufacturing processes to improve productivity.
The company operates through segments, including Advanced Manufacturing Capital Equipment, which includes the development, manufacturing and sales of instruments, control and vacuum products, power and reactive gas products.
Global Service includes the worldwide servicing of instruments, control and vacuum products, power and reactive gas products and certain other product groups.
MKSI's 12-month performance chart shows the stock appreciating 99% versus an 18% gain for the stock market.
Insiders have been buyers recently using stock options. The price for all was not disclosed. However, some bought around $20. The insiders were recent light sellers at $56 to $67 a share.
MKSI's long-term chart shows the stock making a bottom at $11.38 in early 2009 follow ing the bear market.
The stock then trended steadily higher until it got to $40 in early last year. Since then it has been driving sharply higher.
MKSI's daily chart shows the stock climbing from around $50 in January to a peak near $68 by February.
MKSI put down a flat base above its rising 50-day moving average line.
The stock moved higher in the prior session and Thursday drives higher clearing its base easily.
The daily CCI momentum indicator is strongly bullish.
This year, analysts are forecasting a 28% jump in earnings to $3.88 a share from $3.03 a year ago.
The stock sells with a price-earnings ratio of just 17. TTD sees that as attractive for value-growth investors.
Next year, analysts look for a more modest 9% increase in net to $4.21 a share.
The real bullish kicker should come in the first quarter. Analysts are forecasting a hefty 178% jump in net to $1.06 a share from 38 cents the year before.
The highest estimate on the Street is at $1.17 a share.
TTD sees good chances for an upside earnings surprise. MKSI topped the consensus the past four quarters by 5 cents a share, 10 cents, 25 cents and 5 cents.
Profits for the second quarter should climb 40% to $1.01 a share from the 72 cents the year before.
Strategy Opinion: TTD is targeting MKSI for a move to $80. A protective stop can be placed near $64.50.
TTD rates MKSI a good intermediate-term play provided earnings meet expectations.
Suitability: Average Bulls.
TTD's special research of MKSI's Prior Performance after a Breakout:
TTD's research shows that recently (see table) MKSI has racked up some big gains after its breakouts and the stock still remains in play in some cases. That is because MKSI has almost gained 100% the past 12 months. That is impressive. The stock is still a winner.
The stock has moved higher 9 out of the past 11 earnings reports where there was a change in direction.
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
|1/10/2017||61.33||68.20||Still in play|
|11/11/2016||50.53||68.20||Still in play|
|7/8/2016||42.99||68.20||Still in play|
|Still in play|
(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 - HLI - AVERAGE|
|TTD's Quality Rating of Stock - PAM - AVERAGE|
|TTD's Quality Rating of Stock - BECN - AVERAGE|
|TTD's Quality Rating of Stock - KFY - 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 Thursday. Bears be conservative. Stock market still holds in overall up trend.
GES, based in Los Angeles, designs and sells clothes for men, women and children. Annual revenues: $2.2 billion. GES's stock falls sharply Thursday after Standard & Poorts cut its price target sharply. TTD sees more on the downside.
So far today, GES is trading a heavy 11.2 million shares, seven times its average daily volume of 1.7 million shares.
GES's stock fell sharply in the morning and touched an intraday low of $10.29.
The stock lifted to around $11.30 late in the morning and then trended sideways the rest of the day.
GES came in with fourth quarter net of 41 cents a share. That was below the consensus estimate of 42 cents a share.
GES's tape action shows the recent block trades.
One can see the price for the blocks falling from $12.23 in the prior session to as low as $10.50 in the morning.
A key bearish trade came late in the prior session when a block of 17,565 shares crossed at $11.25
That was down sharply from the prior block at $12.23 on 104,509 shares.
GES operates through its retail and e-commerce services. It sells its products worlwide.
The company's clothes are sold as GUESS, GUESS?, GUESS U.S.A. and GUESS Jeans.
This fiscal year ending in January of 2018 analysts are forecasting a 46% increase in net to 64 cents a share. The company is expected to show a seasonal loss of 28 cents a share in the first quarter compared with a loss of 23 cents the year before.
GES's daily chart is bearish as the stock cuts below key technical support and resumes its down trend. The move comes with a pick up in volume. The CCI momentum indicator is strongly bearish.
GES's 12-month performance chart shows the stock down 48% versus an 18% gain for the stock market.
Insiders were buyers late last year at $17 to $14 a share. They were sellers around $13.
Strategy Opinion: TTD is targeting GES for a decline to $8.50 within the next few months, or sooner. A protective stop buy can be placed near $11.50.
Suitability: Aggressive Bears.
|TTD's Quality Rating of Stock - GES - 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.)