EB Watch List Update Report

Dear Members: Market Update: The bears were hoping to wake up to a sea of red with the government shutdown and major indexes so overbought. But as we see the NASDAQ and S&P are green after hitting fresh record highs as we begin a new trading day and week. The VIX is flat which might not seem like much but with the market higher you would think it might be lower. Instead it remains above all key technical levels as traders are actually a bit nervous in spite of the record highs. The earnings parade continues this week with Netflix reporting after the bell and JNJ, PG and VZ reporting tomorrow, to name a few. One has to wonder what might trigger some selling since traders are mostly on a sellers strike. To me that trigger could be weaker earnings than expected; not predicting it but expectations are quite high. We've now got a new range on the S&P of 2820 to the upside and 2768 to the downside. But if the bulls are hoping to take the S&P higher it's going to be in the face of very overbought oscillators with stochastics near 97 and a RSI over 80, lofty figures in any market environment. Companies Reporting earnings today (January 22) Before Market Opens BOH, HAL and UBS After Market Closes: NFLX, STLD, AMTD and ZIONS Companies reporting earnings tomorrow (January 23) Before Market Opens: FITB, HBAN, JNJ, KMB, PG, STT, TRV and VZ After Market Closes: COF, CREE, NAVI, TXN and UAL ADDITIONS TO WATCH LIST Please note that we will be updating the Candidate Tracker today, eliminating some stocks that have been on a while and adding some new ones. After this update it will likely be a few weeks before it is updated as we wait for MANY companies to report their numbers with our interest in those that beat earnings expectations. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None at this time LONGS: Large Cap Watch List QSR - Stock is down almost 1% as it dips back below its 200 day moving average which is currently at $61.41. A reversal and close back above that level could indicate near term selling is coming to an end and would be bullish. Mid Cap Watch List None Small Cap Watch List FINL - Stock is higher by almost 1.5% and a close back above $13.64 would be bullish. SCVL - Stock is fairly flat. A close above the 20 day moving average, currently at $25.62, would be bullish. DELETIONS FROM THE WATCH LIST None At your service, John Hopkins EarningsBeats