Daily - Go to TTD's Chart scroller of Breakout Stocks - Wednesday, March 29, 2017 |
Weekly - Bullish Conservative Investors - Go To TTD Long-Term Plays - Monday, March 20, 2017 |
|
Go to Video Show - "How to Make Money With Breakout Stocks |
---|
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) |
---|
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 leo@tickertapedigest.com. For service, email Beverly Owen owen@tickertapedigest.com. TTD’s Tel: 1-480-926-1680.
Wednesday - March 29, 2017
TTD's Breakout Stocks
Stock Market Overview
Total Buy Breakouts so far today - 11
Quality of Breakouts - Above Average
Stocks Screened - 12,234
Bull side - Several good looking breakouts including some recent new issues. Bulls can be venturesome.
Stock market mixed Wednesday. Dow continues to lag. S&P and Nasdaq holding
Stock Market Trend
(Based on 14-unit Moving Average)
Market (Daily) |
Market (Weekly) |
Market (Monthly) |
Dow - Bearish |
Dow - Bullish |
Dow - Bullish, |
Nasdaq - Bullish |
Nasdaq - Bullish |
Nasdaq - Bullish |
S&P 500 - Bullish |
S&P 500 - Bullish |
S&P 500 - Bullish |
Ticker Tape Digest's
TTD's Quality Rating of Stock - NFLX - ABOVE AVERAGE |
NFLX, based in Los Gatos, Ca., is an Internet television network with some 86 million members in over 190 countries. NFLX's stock, a long-term leader, breaks out Wednesday from an eight -week flat base. The stock nears an all-time high. It needs to top $147.70..
So far today, NFLX is trading 3.3 million shares. Its average daily volume is 5 million shares.
TTD highlighted NFLX as a breakout at our midsession video show on the Web Wednesday.
NFLX's stock rose sharply in the morning to clear its breakpoint line (see 10-minute chart)
The stock reached an intraday peak of $147.18.
Tape Action
NFLX's tape action shows the recent block trades.
One can see the price for the blocks climbing from $145.17 in the prior session to as high as $147.
A key bullish trade came in the morning at the opening when a block of 58,588 shares (duplicated) crossed the tape at $145.50.
That was up from the prior block trade at $145.17 on 10,000 shares.
Near the close a massive block 319,168 shares (duplicated) crossed the tape at $146.47.
That actually came on an up tick from the prior trade at $146.46 on 100 shares.
NFLX Business
NFLX produces viewing for subscribers via television shows and movies. They cover original series, documentaries and feature films.
Members can watch as much as they want, anytime, anywhere, on nearly any Internet-connected screen. Members can play, pause and resume watching, all without commercials.
NFLX Charts
NFLX's 12-month performance chart shows the stock appreciating 40% the past 12-months versus the 15% gain for the stock market.
NFLX has been gaining ground in recent months.
Insiders were heavy buyers recently using stock options that range from $3.35 a share to $48.83. They were sellers from $140 to $145.
CEO Hastings Reed bought 84,469 shares at $3.35 using stock options. He sold the same day at $142.58 making a profit of $5.9 million shares.
NFLX's long-term chart shows the stock climbing from around $5 in 2009 to a peak at $43.54 in 2011.
The stock then fell back to $7.54 in 2012.
However, since then NFLX has surged higher reaching an all-time recently.
NFLX's daily chart shows the stock advancing from $110 back in November to a peak near $146 by February.
The stock then put down a tight flat base above its 50-day moving average line.
Today, NFLX breaks out by just getting over its breakpoint line.
It will be important to see a follow through move.
The stock's CCI momentum indicator is solidly bullish.
NFLX's Earnings
This year, analysts are forecasting NFLX's earnings will soar 152% to $1.08 a share from 43 cents a year before.
The stock has a price-earnings ratio of 133. That is high.
However, it is okay given the earnings growth for this year.
Going out to 2018, the Street projects a 91% surge in profits to $2.07 cents a share from the anticipated $1.08 this year.
Quarterly earnings growth will be strong.
Net for the upcoming fourth quarter is expected to skyrocket 526% to 38 cents a share from 6 cents a year ago.
The highest estimate on the Street is at 39 cents a share. TTD sees good chances for an upside earnings surprise The company topped the consensus the past four quarters.
Profits for the second quarter should leap 156% to 23 cents a share from 9 cents the year before.
Strategy Opinion: TTD is targeting NFLX for a move to $180. A protective stop can be placed near $140 after a breakout.
TTD rates NFLX a good intermediate-term play provided earnings meet expectations.
Suitability: Aggressive Bulls.
TTD's special research of NFLX's stock's Prior Performance after a Breakout:
TTD's research shows that recently (see table) NFLX has scored some sensational gains after breaking out. The stock is a leader. It has soared from $20 back in 2013 to $146.
The stock has moved higher 6 out of the past 10 earnings reports where there was a significant change.
NFLX's seasonal chart shows April tends to be a good month.
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 |
15% |
12/27/2016 | 126.31 | 146.47 | Still in play |
46% |
10/3/2016 | 100.16 | 146.47 | Still in play |
9% |
11/17/2015 | 115.96 | 126.81 | 12/3/2015 |
81% |
4/16/2015 |
69.68 |
126.45 |
8/6/2015 |
89% |
4/17/2013 | 28.37 | 53.67 |
12/20/2013 |
(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 - KRNT - ABOVE AVERAGE |
TTD's Quality Rating of Stock - SRCI - ABOVE AVERAGE |
TTD's Quality Rating of Stock - KRO - ABOVE AVERAGE |
TTD's Quality Rating of Stock - AMZN - 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 - 1
Stocks Screened - 12,234
Long-Term Environment for bears: Unfavorable.
Bear Side - Very few shorts Wednesday. Bears be conservative.
TTD's short from Tuesday was Synnex Corp. at 112.39. Wednesday SNX falls 0.90 to 111.49 and is working well for bears.
UFS, based in Fort Mill, S.C. makes fiber-based products, including communication papers, specialty and packaging papers and absorbent hygiene products. Annual revenues: $5.1 billion. UFS's stock declines Wednesday and undercuts key technical support. TTD sees more on the downside.
So far today, UFS is trading a heavy 1 million shares, double its average daily volume of 473,000 shares.
The stock moved lower in the morning. It continued south through most of the day touching an intraday low of $36 in the afternoon.
Late in the day, it rallied to trim some of its loss.
Tape Action
UFS's tape action shows the recent block trades.
One can see the price for the blocks falling from $37.32 in the prior session to as low as $36.01 Wednesday.
A key bearish trade came late on Tuesday when a block of 35,537 shares (duplicated) crossed the tape at $37.21.
That was down from the prior block trade at $37.32 on 5,000 shares.
Business
UFS pulp and paper unit makes communication, specialty and packaging papers, as well as softwood, fluff and hardwood market pulp.
Its personal care unit produces absorbent hygiene products.
The Company is a marketer of uncoated freesheet paper in North America serving merchants, retail outlets, stationers, printers, publishers, converters and end users.
Earnings:
This year, analysts are forecasting a 2% decline in net to $2.77 a share from $2.84 the year before.
Net for the upcoming first quarter is expected to rise 11% to 39 cents a share from 35 cents the year before.
However, the company disappointed in the prior quarter. The Street was expecting net of 91 cents a share and it came in with only 75 cents missing by 16 cents a share.
Charts:
UFS's daily chart shows the stock declining from around $44 in February down to around $37 by March. The stock today cuts below key support with a big pick up in volume.
UFS's 12-month performance chart shows the stock declining 4% versus a gain of 15% for the stock market. Insiders have been buyers of stock options recently. The price was not disclosed.
Strategy Opinion: TTD is targeting UFS for a decline to $30 within the next few months, or sooner. A protective stop buy can be placed near $38.
Suitability: Aggressive Bears.
TTD's Quality Rating of Stock - UFS - 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.)