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.
Tuesday - June 22, 2021
TTD's Breakout Stocks
Stock Market Overview
Total Buy Breakouts - 8
Quality of Breakouts - Above Average.
Stocks Screened - 12,234
Bull side - Several good looking breakouts from a modest list.
Stock market - Major averages are bullish, except for the daily Dow which is bearish.
Comment - Modest number of breakouts, but some good looking plays for aggressive bulls
See Latest Earnings Reports - A company that tops the Street's highest earnings estimate has potential to go higher. Key earnings beats - KFY.
Stock Market Momentum
(Daily is based on a 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 |
TTD's Quality Rating of Stock - ISRG - ABOVE AVERAGE |
ISRG, based in Sunnyvale, Ca., makes medical products such as the da Vinci surgical system . Annual revenues: $4.4 billion. ISRG's stock drives higher Tuesday and breaks out from its 10-week, cup-and-handle base.
The move carries ISRG to a new all-time high. The stock has been an outstanding long-term for bulls.
So far today, ISRG is trading 449,895 shares. Its average daily volume is 511,000 shares.
TTD sees potential for more on the upside. It will be important to see a follow through.
ISRG received patent approval for a computer related surgical system.
ISRG's stock moved lower in the morning to 887.07.
However, it turned and rallied strongly cutting through its breakpoint line.
The stock ran up to a peak at 903 around noon.
The stock then backed off slightly and trended sideways into the final bell.
In after-hours trading, ISRG was down six cents a share.
Tape Action
ISRG's tape action shows the recent block trades.
One can see the price for the blocks climbing from $888 in the morning to as high as $901.96 by the close.
A key bullish trade came in the morning when a block of 500 shares crossed at $891.48 a share.
That was up from the prior block at $888.86 on 700 shares.
Near the close a big block of 47,255 shares crossed at $901.96.
That was up from the prior block at 900 on 797 shares.
Business
ISRG makes the da Vinci surgical system and Ion endoluminal system.
The company's da Vinci products are offered in categories, including da Vinci Surgical Systems, da Vinci instruments, da Vinci Stapling, da Vinci Energy, and da Vinci Vision.
It also provides a suite of services, training, and education programs. It manufactures a set of instruments, which incorporates EndoWrist technology with wristed joints for natural dexterity and tips customized for various surgical procedures.
Charts
ISRG's 12-month performance chart shows the stock up 53% versus a 35% gain for the stock market.
Insiders were recent buyers using stock options at $148 to $238 a share.
They were sellers at $168 to $873.
ISRG's long-term chart shows the stock climbing from $167 to a peak near $581 by 2018.
The stock then formed a flat base. ISRG broke out in 2020 and has since surged to a new all-time high at $903.
ISRG's daily chart shows the stock breaking out from a cup-and-handle base.
The stock finished the day near the high of its session.
That is very bullish.
The stock's CCI momentum indicator is bullish.
Earnings Outlook
This year, analysts forecast a 34% jump in net to $13.58 a share from the $10.16 the prior year.
Looking out to 2022, the Street predicts a 17% rise in net to $15.90 a share from the current estimate of $13.58 a share.
Net for the second quarter is projected to surge 185% to $3.16 a share from the $1.11 the prior year.
The highest estimate on the Street is at $3.25 a share.
Going out to the third quarter, analysts predict an 18% gain in net to $3.26 a share from the $2.77 the previous year.
Strategy Opinion: TTD is targeting ISRG for a move to 1100 within the next few months, or sooner.
A protective stop can be placed near $870.
Intermediate-Term Rating: Average.
Suitability: Aggressive Bulls.
TTD's special research of Stock's Prior Performance:
Breakout Success |
Bullish |
ISRG scored small gains off recent breakouts. |
Response to Net |
Bullish |
ISRG rose 11 times after 13 earnings reports. |
Seasonal Success |
Bullish |
ISRG avg. gain 6.5% in July, 5.6% in Aug. prior years. |
Earnings Beats |
Bullish |
ISRG beat Street net estimate 18 times after 20 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 |
9% |
8/27/2020 | 703 | 765.11 | 9/2/2020 |
10% |
5/20/2020 | 539.52 | 592.76 | 6/5/2020 |
6% |
10/18/2019 | 566.25 | 598.81 | 12/24/2019 |
30% |
3/28/2017 | 247.27 | 322.26 | 7/19/2017 |
(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 - CRWD - ABOVE AVERAGE |
TTD's Quality Rating of Stock - DOCN - ABOVE AVERAGE |
TTD's Quality Rating of Stock - CTAS - AVERAGE |
TTD's Quality Rating of Stock - CRVL - 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 - 5
Stocks Screened - 12,234
Long-Term Environment for bears: Unfavorable.
Bear Side - Small list of shorts, but some interesting plays for aggressive bears.
COE, based in China, provides online English language education. Annual revenues: $2.1 billion Chinese Yuan. COE's stock falls Tuesday and undercuts key technical support.
COE is trading 134,905 shares. Its average daily volume is 180,000 shares.
TTD sees more on the downside.
COE's stock fell in the morning and cut below key support.
It continued lower and touched an intraday low at $8.14 in the early afternoon.
It lifted slightly late in the day.
In after-hours trading COE was up 17 cents a share.
Tape Action
COE's tape action shows the recent block trades.
One can see the price for the blocks falling from $9.25 in the morning to as low as $8.18 in the late afternoon.
A key bearish trade came in the morning when a block of 1,749 shares crossed the tape at $8.83.
That was down from the prior block at $9.14 on 1,793 shares in the previous session.
Business
COE is a China-based firm providing online English language education services.
Its platform analyzes teachers' teaching aptitudes, feedback and rating from students, as well as background, and recommends suitable teachers to students according to their learning objectives.
The company offers various courses, which include Classic English and Classic English Junior.
Earnings:
This year analysts predict a profit of 3 cents a share, down from the 94 cents the prior year.
Looking out to 2022, they see a rebound with net at 71 cents a share,
A loss of 26 cents a share is projected for the upcoming second quarter.
Charts:
COE's daily chart shows the stock cutting below support with a pick up in volume.
The stock has trended lower after topping out at $37.19 early in 2020.
Strategy Opinion: TTD is targeting COE for a decline to $6.50 within the next few months, or sooner. A protective stop buy can be placed near $9.10
Suitability: Aggressive Bears.
TTD's Stock Probability research of Prior Performance:
Response to Net |
Bearish |
COE rose 2 times after 5 earnings reports. |
Seasonal Success |
Bearish |
COE loss avg 4.5% in July, loss 20.4% in Aug. prior years. |
TTD's Quality Rating of Stock - COE - 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.
Distributed by Corona Publishing Enterprises. TickerTape Digest Inc. 1220 W. Sherri, Gilbert, Az. 85233.
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.)