EB Watch List Update Report

Dear Members, The earnings festivities begin in earnest next week, but there's more than a few big earnings reports to watch this week. Some of the bigger reports are as follows: Monday: JBHT Tuesday: C, CSX, INTC, JNJ, KO, SCHW, YHOO Wednesday: AXP, BAC, EBAY, IBM, PEP Thursday: AMD, BSX, CMG, GOOG, GS, ISRG, NVR, UNH, VZ Friday: BHI, GE, MS, SLB, STI ADDITIONS TO WATCH LIST: None at this time. JP Morgan (JPM) had a nice report and did gap up on strong volume. However, the gap did not hold and, fundamentally, their top line fell a tad short. BRIEF COMMENTS ON WATCH LIST STOCKS: Large Cap Watch List: A - bouncing off its 20 day EMA after holding support in its gap support zone recently. MELI - consolidating between its 20 day EMA and 50 day SMA. NKE - has moved within a dollar of its 75.00 target price. There's nothing wrong with taking some profits in this neighborhood and waiting to see if it can break out again on strong volume. PCLN - tested price support near the 1000 level earlier and has bounced. Mid Cap Watch List: AYI - 98.91 is key closing resistance. It's just about there, bouncing quickly off of initial support closer to 93.00. Nice trade here. BRCD - moved just above 8.36 closing resistance today. The problem is the lack of volume to confirm a breakout. Taking profits in this area is not a bad move off the initial entry at 8.00. It's a 4% profit in just a few days. FINL - strengthening off the rising 20 day EMA. HAIN - has bounced nicely off gap support and now is challenging the moving averages overhead. KFY - has broken out with a long-term negative divergence. Initial position could be sold if KFY fails to hold 22.07 on a closing basis. TIBX - only about 2% away from key resistance. The closer it gets to 27.00, the better short-term profit taking looks. Small Cap Watch List: SREV - is up roughly 7% from the initial entry point at 11.26. Taking profits as it tests its 20 day EMA from underneath not a bad idea. DELETIONS FROM OUR WATCH LISTS: None today. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com