EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Monday: AAPL, CAT, RCL, STLD, STX Tuesday: AAL, AMGN, APD, CHKP, CIT, CMCSA, DD, DHI, EA, F, GLW, HRS, ILMN, ITW, LXK, NUE, PFE, T, TGI, VMW, YHOO COMMENTS: There has been rising volatility over the past few trading sessions and we're very likely to see more this week as earnings pile in and the Federal Reserve announces its intent on further tapering of asset purchases. There are plenty of reasons to reduce risk currently. I believe we remain in the midst of a longer-term bull market, but risks have risen dramatically recently. I'll continue to follow individual Watch List stocks here in this report as I have in the past, but please understand that trading risk is always higher in a more volatile environment. ADDITIONS TO WATCH LISTS: There are potential Watch List candidates out there, but I will likely hold off on adding any until this period of higher volatility subsides. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Large Cap Watch List: FFIV - At its intraday high, was up 5 bucks from our Initial Entry Price. Very nice move considering the overall market environment. HAR - Nice bounce off 20 day EMA support. IHS - Has triggered Second Entry Price and thus far is holding support. Tight stop here. Close below 113.00 and we're out. LEN - Nice bounce off 20 day EMA and gap support. ROC - Big recovery on heavy volume, nice action. SPLK - Failure to hold the 75.00 price level could result in more technical selling down to 50 day SMA support. TIF - Hammer at price support would look nice technically. Final Entry at 83.00 triggered. VMC - Slight long-term negative divergence could ultimately lead to 50 day SMA test. Like the stock, but short-term is dicey. Mid Cap Watch List: ASNA - Closing over the 19.35-19.40 level would be short-term bullish. A close below would not. CRR - Clinging to support. Moved beneath our 105.00 Closing Stop intraday, but it's reversed. A close back above 108.00 would be bullish. TTEK - Those who sold at our Target Price of 30.00 could re-enter a position here on the 20 day EMA. Small Cap Watch List: ELY - Holding 8.73 closing support thus far. Love the heavy volume reversal that appears to be printing. TASR - 16.51 is the top of gap support. A close beneath opens the door to 15.91, while a hammer and close above 16.51 likely marks a bottom. DELETIONS FROM OUR WATCH LISTS: None at this time. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com