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 - 12
Overall Quality of Breakouts - AVERAGE
Stocks Screened - 8,300
Bull side - Breakout list large with some interesting plays. Bulls be selective. Stock market holds in near-term up trend.
(Put mouse on Dow chart to see Nasdaq chart)
Long Term Environment for bulls: Favorable
Stock Market Momentum
Market (Daily) - NYSE Bullish, Nasdaq Bullish
Market (Weekly) - NYSE Bullish, Nasdaq Bullish
Market (Monthly) - NYSE Bullish, Nasdaq Bullish
Ticker Tape Digest's
TTD's Quality Rating of Stock - SWKS - ABOVE AVERAGE
SWKS, based in Woburn, Mas., makes analog and mixed signal semiconductors. Annual revenues: $2.9 billion. SWKS, a leading stock, breaks out today from a 10-week flat base and hits a new all-time high. The stock was featured by TTD on Monday as a potential breakout.
SWKS was also highlighted by TTD at our midsession video show on the Web Tuesday.
So far today, SWKS is trading 5.7 million shares. Its average daily volume is 3.6 million shares.
SWKS shot higher in the morning and cut across its breakpoint line (see 10-minute chart).
The stock then pulled back a bit but rallied again and held above its breakpoint line until the close.
SWKS's tape action shows the recent block trades.
One can see the price for the blocks climbing from $103.03 in the prior session to as high as $105.36 Tuesday.
A key bullish trade came in the morning when a block of 82,365 shares (duplicated) crossed the tape at $103.80.
That was up from the prior block trade at $103.03 on 75,274 shares the day before.
There was some institutional profit taking in after-hours trading. So, one needs to be watchful of the stock.
A block of 124,840 shares crossed the tape at $103.93. That came on a down tick from the prior trade of about 100 shares at $103.99.
About 13 minutes before that a block trade of 72,767 shares (duplicated) crossed at $103.99. So, there was some shifting going on late in the session.
SWKS makes analog and mixed signal semiconductors.
It produces amplifiers, attenuators, battery chargers, circulators, DC/DC converters, demodulators, detectors, diodes, directional couplers, filters, front-end modules, hybrids and infrastructure radio frequency subsystems.
The company also offers MIS silicon chip capacitors and transceivers. The products are used in the automotive, broadband, wireless infrastructure, energy, industrial, medical and military markets.
SWKS's 12-month performance chart shows the stock appreciating a sensational 150% versus a 13% gain for the S&P 500 index.
The stock has tended to move higher after it reports quarterly earnings.
SWKS's long-term chart shows the stock climbing from 6 back in 2006 to a peak of 37 by 2011. The stock then fell back to 13 later in 2011.
SWKS eventually broke out of its long-term basing pattern in early 2014. Since then the stock has skyrocketed to 103, an eight fold move from its low in 2011. The stock is in position now to breakout to a new high. That would be bullish.
SWKS's daily chart shows the stock advancing from 75 back in January to a peak near 103 by March.
The stock then put down a tight, flat base above its 50-day moving average line.
That is an ideal setup for a breakout.
The breakout came and the stock cleared the base.
The stock's TTD momentum indicator (top of chart) is strongly bullish.
The accumulation - distribution line (bottom of chart) is in an overall up trend and compliments the price action.
Analysts are forecasting SWKS will rack up a 68% gain in profits this fiscal year ending in September.
They look for $4.68 a share, up from $2.79 a year ago.
The stock sells with a price-earnings ratio of 22. TTD sees that as reasonable.
Going out to fiscal 2016, the Street looks for a 17% rise in profits to $5.49 a share from the anticipated $4.68 this fiscal year.
Quarterly earnings growth will be strong.
Net for the upcoming fiscal third quarter ending in June is expected to surge 65% to $1.17 a share from 71 cents the year before.
Then in the fiscal fourth quarter, the Street looks for a 32% gain in net to $1.32 a share from the $1 the year before.
Strategy Opinion: TTD is targeting SWKS for a move to 125. A protective stop can be placed near 95..
TTD rates SWKS a good intermediate-term play provided earnings remain on course.
Sponsorship: Very Good. Several index funds hold large positions. A key fund buyer recently was the 3-star rated CREF Stock R1 fund which purchased 50,734 shares.
SWKS has 191.1 million shares outstanding. Institutions hold 77% of the stock and insiders just 1%.
Insider Activity: Very Bearish. Insiders have been buyers using stock options at $5.67 to $28.43 recently. They were sellers at $90 to $97.
Currently, 19 analysts follow the stock, 16 have a buy, down from 19 three months ago. SWKS has a book value of $14.99.
Stock Performance Chart with Quarterly Earnings Markers.
|TTD's Breakout Profile
Skyworks Solutions Inc. - (SWKS)
|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 - MHK - AVERAGE|
|TTD's Quality Rating of Stock - EHIC - AVERAGE|
|TTD's Quality Rating of Stock - MAS - AVERAGE|
|TTD's Quality Rating of Stock - REGN - BELOW 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 - 8
Stocks Screened - 8,300
Long-Term Environment for bears: Unfavorable.
Bear Side - Good number of breakdown stocks but very selective. Bears go slow. Stock market still moving higher.
ANF, based in New Albany, Ohio, sells men and women's clothes. Annual revenues: $3.7 billion. ANF's stock, a laggard, falls today and undercuts key technical support. So far today, ANF is trading a heavy 3.4 million shares. Its average daily volume is 1.8 million shares.
ANF was highlighted as a short at our midsession video show on the Web Tuesday.
ANF's stock fell sharply in the morning and undercut its key support. The stock headed south into the afternoon hitting an intraday low of 20.54.
The stock then trended mostly sideways into the final bell.
ANF's tape action shows the block trades.
One can see the price for the blocks falling from $21.68 in the prior session to as low as $20.55 Tuesday.
A key bearish trade came in the afternoon when a block of 83,160 shares crossed the tape at $20.55.
That was down sharply from the prior block trade at $20.87 on 19,153 shares.
ANF sells men's, women's and kids' casual apparel. The company sells under the Abercrombie & Fitch and abercrombie trade names through retail stores, a catalogue and website.
Analysts are forecast a 40% drop in ANF's earnings for the fiscal year ending in January of 2016. They look for 92 cents a share, down from $1.54 in fiscal 2015.
For the upcoming fiscal second quarter ending in April, they are forecasting a loss of 34 cents a share compared with a loss of 17 cents the year before.
ANF's daily chart shows the stock trending lower and then trying to form a bottom. However, today, the stock cuts below key support with volume.
Strategy Opinion: TTD is targeting ANF for a decline to 17 within the next few months, or sooner. A protective stop buy can be placed near 21.80.
|TTD's Quality Rating of Stock - ANF - BELOW 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: 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.)