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 - 23
Overall Quality of Breakouts - Average
Stocks Screened - 8,300
Bull side - Large number of breakouts as stock market continues rebound. Apple Inc. (AAPL) results taken bullishly. Bulls be selective. Stock market looks to be entering trading range. l
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bearish, Nasdaq Bearish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
(See Top Performing Breakout Stocks for 2011- 2012)
TTD's Quality Rating of Stock - WHR - ABOVE AVERAGE
WHR, based in Benton Harbor, Mich., makes household appliances. Annual revenues: $18.1 billion. WHR's stock breaks out today from an eight-week flat base. The move carries the stock to a new all-time high, which is bullish. So far today, WHR is trading 1.9 million shares, almost double its normal daily volume of 1 million shares.
TTD highlighted WHR as a potential breakout earlier this month. The stock was also featured as a breakout at our midsession video show on the Web Tuesday.
WHR's stock sprinted higher in the morning to clear its breakpoint line (see 10-minute chart). The stock then worked gradually higher as the session wore on. It showed a good pick up volume late in the day.
The stock's tape action shows the recent big block trades.
One can see the price for the blocks climbing from $115.85 on Monday to as high as $122.07 Tuesday.
A key bullish trade came late on Monday when a block of 17,871 shares crossed the tape at $118.02. That was up from the prior block trade at $115.50.
The tape action continued strong through most of Tuesday indicating good institutional buying interest.
WHR makes major appliances mostly for the home.
They include laundry appliances, refrigerators and freezers, cooking appliances, dishwashers, room air-conditioning equipment, and mixers and other small household appliances.
The company also produces hermetic compressors and plastic components, primarily for the home appliance and electronics industries.
WHR's 12-month performance chart shows the stock appreciating 85% versus and 18% gain for the S&P 500 index.
WHR's long-term chart shows the stock rallying from 50 late last year to 112. The stock's push to a new high could draw in more buying on Wednesday from the new high crowd.
WHR's daily chart shows the stock breaking out from an eight-week flat base. The stock has been in a strong up trend the past 12-months. The flat base is well structured.
The TTD momentum indicator (top of chart) has been mostly bullish the past several months. Each time it has dipped below the zero line it has come back.
The accumulation - distribution line (bottom of chart) has broken out to the upside. That is good confirmation of strong underlying buying the past few weeks.
This year, analysts are forecasting a 37% surge in net to $9.69 a share from $7.05 a year ago.
The stock sells with a price-earnings ratio of just 11. TTD sees that as low making the stock attractive to value investors.
The company is doing well as the homebuilding sector improves. New homes need new appliances.
Going out to 2014, the Street looks for an 18% gain in net to $11.42 a share from the anticipated $9.69 a share for this year.
Quarterly earnings growth should be strong.
Net for the first quarter should leap 38% and then in the second quarter 38% again.
For the first quarter, net should climb to $1.95 a share from $1.41 a year ago. The highest estimate on the Street is at $2.02 a share. TTD sees chances for an upside surprise. The prior two quarters, WHR topped the consensus estimate by 7 cents a share and 20 cents.
Net for the second quarter should advance to $2.14 a share from $1.55 a year ago.
Strategy Opinion: TTD is very bullish on WHR. TTD is targeting the stock for a move to 145. A protective stop can be placed near 117.
TTD rates WHR a very good intermediate-term play.
Sponsorship: Average. The largest fund buyer recently was 3-star rated CGM Focus Fund which purchased 830,000 shares. It has a 1.1% stake. The largest fund holder is 4-star rated Vanguard Primecap Investment Fund with a 2.7% stake. The 4-star rated fund was a recent seller of 60,000 shares.
WHR has 78.6 million shares outstanding. Institutions hold 92% of the stock.
Insider Activity: Bearish. Insiders were recent buyer using stock options from $31 to $78 a share. They were most recent sellers at $118. Currently, 5 analysts follow the stock, 4 have a buy, up from 3 three weeks ago.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Whirlpool Corp. - (WHR)
|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 - PKG - ABOVE AVERAGE|
|TTD's Quality Rating of Stock - PCH - ABOVE AVERAGE|
|TTD's Quality Rating of Stock - SBUX - ABOVE AVERAGE|
|TTD's Quality Rating of Stock - COPA - 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 - 3
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Small list of breakdown stocks today. stock market extends snap back rally. Bears be selective.
IDXX, based in Westbrook, Me., makes diagnostic products for the animal health industry. Annual revenues: $1.3 billion. IDXX's stock falls sharply today in heavy trading. The drop was triggered by a disappointing earnings forecast. TTD sees more on the downside.
So far today, IDXX's stock is down sharply. Volume is running at a heavy 2.7 million shares, nine times its normal daily volume of 329,000 shares.
IDXX said earnings will be below Street projections for the year.
The stock gapped lower in the morning hitting an intraday low of 83.05. The stock bounced back to erase half of its loss. It then trended sideways.
The stock's tape action shows the price the recent block trades falling from $90.70 to as low as $85.31.
A key bearish trade came in the morning when a block of 50,000 shares crossed at $85.31, down sharply from the prior block trade at $89.96.
IDXX provides diagnostic, detection, and information products to the animal health industry as well as quality assurance products to the food and water industries.
The company said it expects earnings this year of $3.40 to $3.46 a share on revenue of $1.38 billion to $1.39 billion.
The company's previous guidance was earnings of $3.47 to $3.57 a share on revenue of $1.40 billion to $1.42 billion. The Street consensus for earnings was at $3.54 a share on revenue of $1.40 billion.
IDXX's daily chart shows the stock gapping lower on big volume. The stock's TTD momentum indicator (top of chart) is now bearish.
Strategy Opinion: TTD is targeting IDXX for a drop to 78 within the next few months, or sooner. A protective stop buy can be placed near 88.50.
|TTD's Quality Rating of Stock - IDXX - 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.)