Daily - Go to TTD's Tape of Stock Charts - Tuesday, March 26, 2013 |
Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, March 25, 2013 |
Go to Video Show - "How to Make Money With Breakout Stocks" |
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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. Trading Strategies Bullish 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) Bearish Aggressive Bearish Investors - "Breakdown Stocks" to Sell Short. Ideally suited for bear markets or market pull backs. Potential for large returns (See Performance) |
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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 leo@tickertapedigest.com.For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.
Breakout Stocks
Total Buy Breakouts so far today - 12
Overall Quality of Breakouts - Average
Stocks Screened - 8,300
Bull side - Good number of breakouts with some good looking plays. Bulls be selective. Stock market so far is consolidating within an up trend. Be alert for earnings now.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Market (Daily) - NYSE Bearish, Nasdaq Bearish
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 - V - AVERAGE |
V, based in San Francisco, provides electronic payment services. Annual revenues: $10.7 billion. V's stock breaks out today from a 12-week flat base. The move carries V to a new all-time high. So far today, V is trading 4.8 million shares. Its average daily volume is 3 million shares.
V is a leader that has been trending higher in an orderly way the past several months.
Monday, the stock moved higher in the morning and then trended sideways near its breakpoint line (see 10-minute chart).
In the afternoon, it pushed over its breakpoint convincingly and held the breakout into the close.
There was a good pick up in volume late in the day which is bullish. Also, the close near the high of the day is favorable to the bulls too.
TTD's clip of the tape shows the recent big block trades.
One can see the price for the blocks climbing from $160.75 to as high as $164.21.
A key bullish trade came in the morning when a block of 15,000 shares crossed the tape at $162.45. That was up from the prior block at $162.01.
The big block late in the day of 177,633 shares went off at 164. That was down from the prior trade which was a block trade of 18,880 shares. So, it would appear some institutional selling came in on the closing NYSE bell. That is something that would cause one to be watchful.
V operates the world's largest retail electronic payments network and is one of the most recognized global financial services brands.
The company facilitates global commerce through the transfer of value and information among financial institutions, merchants, consumers, businesses and government entities.
V's 12-month performance chart shows the stock appreciating 37% versus a 10% gain for the S&P 500 index. That is a very good performance for a big cap stock. One can see from the red bars steady insider selling.
V's long-term chart shows the stock coming public in 2008 and trading around 60. The stock fell back to 41 in early 2009 due to the bear market. However, since then the stock has been pushing nicely higher. The push to a new high could bring in more buying on Tuesday.
V's daily chart shows the stock advancing nicely from around 130 in September to a peak near 162 by January.
V put down an excellent flat base above its rising 50-day moving average line. The breakout today looks very good and comes with nice volume.
The stock's TTD momentum indicator (top of chart) is strongly bullish.
The accumulation - distribution line (bottom of chart) has turned up. However, it lags the price action.
This fiscal year ending September 30, analysts are forecasting an 18% rise in earnings to $7.34 a share from $6.20 a year ago. The stock sells with a price-earnings ratio of 22. TTD sees that as reasonable.
Going out to fiscal 2014, V's earnings are projected to rise 16% to $8.52 a share from the anticipated $7.34 a share for this year.
For the upcoming fiscal second quarter ending March 31, the Street is looking for a 13% increase in net to $1.80 a share from $1.60 the year before. The highest estimate is at $1.88 a share. One can see V has a solid tendency to come in above the consensus estimate. However, the stock does not always react bullishly after the earnings announcement.
Looking ahead to the fiscal third quarter, profits are projected to climb 14% to $1.78 a share from $1.56 the year before.
Strategy Opinion: V is a solid big cap play. TTD is targeting the stock for a move to 195 off this breakout. A protective stop can be placed near 158.
TTD rates V a very good intermediate-term play provided earnings remain on course. There is also a chance for a stock split which could boost the stock.
Sponsorship: Excellent. The top five fund holders all have a 4-star rating. The 4-star rated Harbor Capital Appreciation Fund was a recent buyer of 298,179 shares. It has a 0.31% stake. The largest fund holder is Fidelity Contrafund with a 1.3% stake. It was a recent seller of 167,600 shares.
V has 803.4 million shares outstanding. Institutions hold 84% of the stock.
Insider Activity: Bearish. Insides were recent buyers around $56. They sold around $155. Currently, 29 analysts follow the stock, 20 have a buy, down from 23 three months ago.
Stock Performance Chart with Quarterly Earnings Markers.
TTD's Breakout Profile
Rating Visa Inc. - (V) |
TTD Check List | Bullish | Bearish | Neutral |
Near 52-week High | YES | ||
Volume | YES | ||
Tick Volume | YES | ||
Price Trend - Daily | YES | ||
Price Trend - Long Term | YES | ||
Price Daily Spread | YES | ||
Base Structure | YES | ||
Base - A-D | YES | ||
Earnings-Quarterly | YES | ||
Earnings-Long Term | YES | ||
Earnings Outlook | YES | ||
Industry Group | YES | ||
Prior Breakout Success | YES | ||
Fund Sponsorship | YES | ||
Total Score | 13 | 0 | 1 |
Charts of Selected Breakout Stocks
TTD's Quality Rating of Stock - MMP - AVERAGE |
TTD's Quality Rating of Stock - DRQ - AVERAGE |
TTD's Quality Rating of Stock - MNTX - AVERAGE |
TTD's Quality Rating of Stock - CPNO - AVERAGE |
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.
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)
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 - 5
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Small number of breakdown stocks so far today. Stock market consolidating within an up trend. Bears be selective.
VSI, based in North Bergen, N.J., sells nutritional products. Annual revenues: $951 million. VSI's stock falls sharply today extending its down trend from a prior breakdown in late February. So far today, VSI is trading 359,552 shares. Its average daily volume is 759,000 shares. TTD sees more on the downside.
TTD highlighted VSI as a breakdown at our midsession video show on the Web Monday.
VSI's stock trended lower through the morning and early afternoon. It hit an intraday low of 48.59.
The stock then lifted slightly in the afternoon and then trended sideways.
TTD's clip of the tape shows the recent big block trades. One can see the price for the blocks declining from $50.37 to as low as $48.82.
A key bearish trade came when a block of 6,400 shares crossed the tape at $49.72. That was down from the prior block trade at $50.17.
VSI sells vitamins, minerals, nutritional supplements, herbs, sports nutrition formulas, homeopathic remedies, green living products and health and beauty aids.
This year, analysts are forecasting a 12% rise in VSI's earnings to $2.36 a share from $2.11 a year ago. Today, the company opened its first international franchise.
Technically, the stock is breaking down again after a tumble in late February. VSI's TTD momentum indicator (top of chart) is bearish. The accumulation - distribution line (bottom of chart) is showing clear heavy selling pressure.
Strategy Opinion: TTD is targeting VSI for a decline to 42 within the next few months or sooner. A protective stop buy can be placed near 50.20.
TTD's Quality Rating of Stock - VSI - 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.”
For information to subscribe to the Ticker Tape Digest Services call: B. J. 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.)