EB Watch List Update Report

Dear Members: Market Update: Sometimes the market "feels" like it's top heavy, even when it continues to rise day after day. To me this feels like one of those times, even though I remain quite bullish. We did see the VIX spike some yesterday as it tested some key technical levels from below. It tried to clear its 20 and 50 day moving averages earlier before pulling back some but it looks like it could quickly rise if traders decide to take profits in unison. But here we are with all of the major indexes at all time highs and very extended and no one is selling! I read the other day that margin on stocks is back to very lofty levels; traders are leveraging up to get in on the long side. Maybe a bit of a warning sign. But even yesterday when talk of any tax reform being pushed back some traders didn't blink. What exactly might derail the market? Perhaps something out of the blue that catches everyone off guard. But in a strong bull market this is the last thing traders are worrying about. Even if we do get some type of pullback it could be shallow; traders are waiting in the wings to jump in any time there's any selling. So best for the moment to go with the flow and if things turn then be ready to move to the sidelines if necessary. Companies Reporting earnings today (November 8) Before Market Opens CABO, CARS, HUM, MGM, ROK, STWD, WD and WEN After Market Closes: TWNK, MFC, RNG, SQ, FOX and VVV Companies reporting earnings tomorrow (November 9) Before Market Opens: AZN, CSIQ DHI, JCI and TIME After Market Closes: CAA, DIS, HTZ and NWSA ADDITIONS TO WATCH LIST We added GM to the Watch List yesterday with more information below BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: None at this time LONGS: Large Cap Watch List BX - Stock is down slightly after testing its 50 day moving average earlier in the session. As a reminder, the stop loss is any CLOSE below the 20 day moving average, currently at $32.65. GM - Stock was added yesterday at an entry price of $41.79 with a price target of $45.10 and a stop of any INTRA DAY move below $41.35. Right now it's hugging its 50 day moving average, currently at $41.66 and we would like to see it hold that level as a close below could result in a test of that recent low of $41.35. Thus the very tight stop. Mid Cap Watch List SKX - Stock is down roughly 1% this morning. Would like to see it firm up and a close above yesterday's close of $31.22 would be bullish. Small Cap Watch List PETS - Stock is down slightly as it dipped below its 20 day moving average before bouncing some. PLEASE NOTE: We are raising the stop on PETS to any CLOSE below its 50 day moving average, currently at $35.88, as a close below that level could take it lower. SSTK - Stock is higher by 2% and a close above $38.99 would put us one step closer to the price target of $41.35. SYNT - Stock is up slightly as it continues to consolidate. A close back above $23.61 would be bullish. DELETIONS FROM THE WATCH LIST None At your service, John Hopkins EarningsBeats