EB Watch List Update Report

Dear Members: Market Update: Stocks are doing what they almost always do when they are under fire with all of the major indexes retreating to their respective 20 day moving averages, the first key level of technical support. This comes on the heels of earnings reports from Amazon (flying high) Apple/Google (disappointing) and XOM (disappointing) and a jobs report this morning stronger than expected. Though there are still plenty of companies that will report earnings the next week or two the most highly anticipated and visible stocks have already reported their numbers; there's no more guessing. Most analysts will tell you they were pleased with the overall earnings picture. But we can see that the market was expecting super numbers with the market getting ahead of itself. For sure this is going to be a good test - i.e., can the bulls convince traders that this is the pullback they've been waiting for or will we see an acceleration in selling into the weekend? From a purely technical perspective one could argue that this would be a good time to nibble. On the other hand the VIX is up again today as nervousness has increased with traders wondering if will there be enough interest on this pullback to dive back in. The good news is I'm starting to see some stocks that reported strong earnings that have pulled back to levels that could produce a nice reward to risk. But some of these stocks might get even cheaper which would be just fine. Since this is the first test of key technical support in a while it makes some sense to see what happens as the day progresses. For sure the major indexes are no longer overbought but they're still up nicely for the year and could fall even further if fear picks up even more if traders opt to lock in those profits that still remain. Companies reporting earnings Today (February 2) Before Market Opens AZN, CHTR, CVX, CLX, EL, XOM, HMC, JOUT, MSG, MAN, MRK, PSX, ROP, S and WY After Market Closes: None Companies reporting earnings Monday (February 5) Before Market Opens: BAH, BMY, HES, PCRFY, GOLD and SYY After Market Closes: CRUS and SWKS ADDITIONS TO WATCH LIST Going to keep a close eye on the market and will let members know if any new additions to the Watch List. Also we will be adding a lot of stocks to the Candidate Tracker in the near future and will keep you posted. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None at this time LONGS: Large Cap Watch List None Mid Cap Watch List BB - Stock is down almost 4% as it gets dragged down with the rest of the market. As a reminder we have a stop loss of any INTRA DAY move below $12.30. It did get as low as $12.32 earlier in the session before bouncing so keep an eye on it. Small Cap Watch List None DELETIONS FROM THE WATCH LIST None At your service, John Hopkins EarningsBeats