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 Accumulation 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 Swng - 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 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: 1-480-878-8381 or 480-704-3331.
Thursday - May 27, 2021
TTD's Breakout Stocks
Stock Market Overview
Total Buy Breakouts - 16
Quality of Breakouts - Above Average.
Stocks Screened - 12,234
Bull side - Large list of breakouts with some good looking plays.
Stock market - Market remains in a consolidation. Major averages bullish.
Comment - Bulls can be venturesome going after leading stocks.
See Latest Earnings Reports - A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats - TITN, CLGN, CM, PRVA and MIXT.
Stock Market Momentum
(Daily is based on a moving average)
Market (Daily) |
Market (Weekly) |
Market (Monthly) |
Dow - Bullish |
Dow - Bullish |
Dow - Bullish |
Nasdaq - Bullish |
Nasdaq - Bullish |
Nasdaq - Bullish |
S&P 500 - Bullish |
S&P 500 - Bullish |
S&P 500 - Bullish |
TTD's Quality Rating of Stock - WH - ABOVE AVERAGE |
WH, based in Parsippany, N.J., operates hotels and motels. Annual revenues: $1.3 billion. WH's stock moves higher Thursday and breaks out from its seven-week flat base.
The move carries the stock to a new all-time high. That is bullish.
So far today, WH is trading 692,562 shares. Its average daily volume is 703,000 shares.
TTD sees more on the upside.
WH's stock cleared its breakpoint around noon.
The stock then trended sideways in the afternoon. Then late in the day WH's stock spiked higher.
It closed near its high for the session. That is bullish.
The stock was unchanged in after-hours trading.
Tape Action
WH's tape action shows the recent block trades.
One can see the price for the blocks climbing from $75.71 in the morning to as high as $76.11 near the close.
A key bullish trade came in the afternoon when a block of 4,000 shares crossed the tape at $75.70
That was up from the prior block at $75.59 on 2,600 shares.
Near the close a block of 125,781 shares crossed at $76.11.
That was up from the prior block in the sequence at $76 on 3,565 shares.
Business
WH is a hotel franchising and management company.
The company operates has a 8,400 affiliated hotels in over 80 countries.
It is a provider of economy hotels in the world, and has presence in the midscale and upscale segments of the industry.
The company's portfolio consists of 20 brands including Wyndham, Super 8, Ramada Encore, Microtel, Baymont, Dazzler, Hawthorn, and Days Inn.
Charts
WH's 12-month performance chart shows the stock up 58% versus a 38% gain for the stock market.
Insiders were recent sellers at $51 to $66 a share.
They were buyers at $39.95 using stock options.
WH's long-term chart shows the stock coming public in 2018 at $59.55. The stock eventually tumbled down to $14.50 in early 2020 due to the fall in the stock market and the impact on the travel industry.
However, since then WH has surged back to $76 and is now making a new high.
WH's daily chart shows the stock rising from $60 in February to around $75.
The stock put down a tight flat base.
The breakout clears the base and takes WH to a new high.
Earnings Outlook
This year, analysts predict a 120% surge in net to $2.27 a share from the $1.03 the prior year.
Seven analysts follow the stock.
Looking out to 2022, the Street projects a 40% lift in net to $3.18 a share from the anticipated $2.27 this year.
Net for the second quarter should climb to 61 cents a share from 10 cents the previous year.
The highest estimate is at 82 cents a share.
The company beat the Street estimate the past four quarters by 11 cents a share, 4 cents, 6 cents and 16 cents.
Profits for the third quarter should jump 74 cents a share from the 36 cents the prior year.
Strategy Opinion: TTD is targeting WH for a move to $90 within the next few months, or sooner.
A protective stop can be placed near $73
Intermediate-Term Rating: Average.
Suitability: Aggressive Bulls.
TTD's special research of Stock's Prior Performance:
Breakout Success |
Bullish |
WH scored modest gains off recent breakouts. |
Response to Net |
Bullish |
WH rose 7 times after 10 earnings reports. |
Seasonal Success |
Bullish |
WH avg. loss 0.9% in June, gain 1.2% in July prior years. |
Earnings Beats |
Bullish |
WH beat Street net estimate 10 times after 12 reports. |
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 |
17% |
2/19/2021 | 63.34 | 74.40 | 4/27/2021 |
13% |
11/18/2019 | 55.79 | 63.22 | 12/27/2019 |
(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 Price Performance after Reporting Earnings
Stock's Performance Chart with Quarterly Earnings Markers vs. S&P 500
Insider Buying in Green - Insider Selling in Red
Charts of Selected Breakout Stocks
TTD's Quality Rating of Stock - STAA - ABOVE AVERAGE |
TTD's Quality Rating of Stock - MGA - ABOVE AVERAGE |
TTD's Quality Rating of Stock - UPST - ABOVE AVERAGE |
TTD's Quality Rating of Stock - NDSN - ABOVE 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 -
Stocks Screened - 12,234
Long-Term Environment for bears:
Bear Side -
PLAN, based in San Francisco, provides cloud services for high tech needs. Annual revenues: $448 million. PLAN's stock falls sharply Thursday and undercuts key technical support.
PLAN is trading 18.6 million shares, nine times its average daily volume of 2.2 million shares.
TTD sees potential for more on the downside.
PLAN fell after reporting a wider than expected loss for the fiscal first quarter ended in April. It came in with a loss of 10 cents a share versus Street estimate of a loss of 9 cent share.
TTD highlighted PLAN as a short at our midsession video show.
PLAN's stock fell in the morning touching an intraday low of $46.
The stock lifted to around $50 and then trended sideways the rest of the day.
In after-hours trading, PLAN was up 39 cents a share.
Tape Action
PLAN's tape action shows the recent block trades.
One can see the price for the blocks falling from $56.99 in the prior session to as low as $46.20 in the morning.
Near the close a big block of 423,439 shares crossed at $49.61.
That was down from the prior block at $50.06 on 70,218 shares.
Business
PLAN provides a cloud-based connected planning platform.
It offers its application over the Internet as a subscription service using a software-as-a-service model. Its hyperblock technology is designed for connected planning.
It enables users to manage sales performance, including incentive compensation, territory and quota planning, sales forecasting, account segmentation and scoring, and sales capacity planning.
The system provides consulting, implementation, and training. It serves the architecture, engineering and construction and auto industries.
Earnings:
For the fiscal year ending in January, 2022, analysts predict a loss of 34 cents a share compared with a loss of 27 cents the prior year.
Going out to fiscal 2023, the Street predicts a loss of 20 cents a share.
Charts:
Plan's daily chart shows the stock falling sharply in the morning and undercutting support.
The stock has now trended lower from a peak at $86 in February.
Strategy Opinion: TTD is targeting PLAN for a decline to $42 within the next few months, or sooner. A protective stop buy can be placed near $53.
Suitability: Aggressive Bears.
TTD's Stock Probability research of Prior Performance:
Response to Net |
Bullish |
PLAN rose 5 times after 8 earnings reports. |
Seasonal Success |
Bullish |
PLAN rose avg 7.3% in June, 6.5% in July prior years. |
Earnings Beats |
Bullish |
PLAN beat Street estimate 10 times after 11 reports. |
TTD's Quality Rating of Stock - PLAN - BELOW AVERAGE |
Stock's 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 has also been a speaker at the Money Show 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 1-480-704-3331.
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TTD “Professional Report” is available on the Web: $100 per month. Password needed. Published daily - around 20 times a month.
TTD Pro Report includes a Morning chart slide show of breakout stocks, a Midsession video-audio show with commentary on breakout stocks and shorts and a Final end of day overall report on breakout stocks for the session, short plays and accumulation plays. There are other features too such as Quick Trades and Long-term Plays.
TTD Daily Report is $39. It covers a Morning slide show of charts of stocks breaking out and a TTD end of day print report covering breakout stocks and shorts.
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(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.)