EB Watch List Update Report

Dear Members: Market Update: Finally, some decent selling, with all of the major indexes lower by over 1%. It is SO overdue and absolutely necessary. It coincides with the VIX breaking out, up another 10% today and at the highest level since August of last year. It also comes as the Fed meets with its interest rate decision due out tomorrow. Right now no one expects any rate increase when the Fed announces its decision. However, we can now see the impact of the past rate increases with the ten year treasury note now over 2.7%, a level not seen since 2014 and weighing some on the market today. The question now becomes; will traders see the selling of the past two days as yet another buying opportunity? Or will it spook them enough to keep them on the sidelines? Given the behavior for months now one might think this is easy to answer. However that big move in the VIX points to increased nervousness. I'm still thinking that tomorrow and Thursday will be big days for the market when Amazon, Apple, Facebook, Google and Microsoft report earnings as those 5 stocks represent a sizable chunk of the NASDAQ and their collective results could most definitely impact the market. The S&P got as low as 2818 this morning so that is now support. I think we will see resistance near 2850. The market is already off the lows of the session but that just might represent an intra day oversold bounce. I think at this point it makes sense to see what happens as the day progresses. I do think traders will take into consideration the powerful lineup of companies reporting the next few days which might keep the market from tanking much more. But if the S&P loses 2818 level we could see more selling with 2800 the next level of support. The good news is once the dust settles we might end up finding some nice reward to risk opportunities with focus being on those stocks that reported strong earnings and have pulled back to key price or technical support levels. Companies reporting earnings Today (January 30) Before Market Opens AET, AKS, ALLY, CIT, GLW, DHR, DOV, HOG, HRS, HCA, HUBB, MCD, NUE, PCAR, PFE, PII, PHM, SAP and TROW After Market Closes: AMD, ALGN, BXP, CHRW, CB, ILMN, JNPR, KNX, RHI, SFLY, and SYK Companies reporting earnings tomorrow (January 31) Before Market Opens: FLWS, ANTM, ADP, BA, CHKP, DHI, ERIC, EVR, IR, JCI, KLIC, LLY, NDAQ, PBI, SLAB, SPG, SIRI, TXI, TUP and XRX After Market Closes: T, CTXS, DRE, EBAY, FB, LNC, MET, MSFT, MDLZ, PYPL, QCOM, SYMC, TSCO, X and VRTX ADDITIONS TO WATCH LIST We added BB to the Watch List this morning with additional information below. Will keep you posted on any new additions. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None at this time LONGS: Large Cap Watch List QSR - Stock closed below its 200 day moving average yesterday so was removed from the Watch List. Mid Cap Watch List BB - This stock was added to the Watch List this morning at an entry price of $12.60 with a price target of $13.95 and a stop loss of any INTRA DAY move below $12.30. Small Cap Watch List None DELETIONS FROM THE WATCH LIST QSR was removed from the Watch List as it closed below its stop loss. None At your service, John Hopkins EarningsBeats