EB Watch List Update Report

Dear Members: Market Update: A few things remain the same in spite of yesterday's strong showing. First, all major indexes remain below key technical levels. Next, the VIX remains elevated relative to what we've seen over the past many months, so the bulls are currently operating at a disadvantage. We can see today that the market is all over the map, especially the NASDAQ which is flipping from red to green in the blink of an eye. This could be due to the continuing saga at Facebook with the stock trying to regain some of the heavy losses experienced lately, so far without a great deal of success. Though FB is only one stock it's still an important stock; the market could be held back some as long as FB continues to lag. The bulls can claim with accuracy that the S&P held its 200 day moving average - almost to the penny - perfectly last Friday and then the big bump off of the bottom yesterday. Now traders are trying to figure out if yesterday was a one day wonder or if there are more points to be gained. It's quite possible we could see some consolidation in the near term; no big rallies and no big sell offs. In fact the S&Pcould be contained in a range of 2585 (the 200 day) to the downside and 2702 (the 20 day) to the upside. If this turns out to be true we'll be getting some of the same where there's more churning than anything else. And in fact it's very possible that we could see this type of action for the next few weeks leading up to Q2 earnings season which is coming up fast and could help to clarify what the overall Corporate bottom line looks like. Since all of the major indexes do remain below key technical levels we have to give the current edge to the bears with no need to get overly aggressive in the very near term. Companies reporting earnings Today (March 27) Before Market Opens: MKC After Market Closes: LULU, RH, SCVL and SONC Companies reporting earnings tomorrow (March 28) Before Market Opens: BB, HBC and WBA After Market Closes: GME and PVH ADDITIONS TO WATCH LIST Will let you know if there are any additions to the Watch List BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None at this time LONGS: Large Cap Watch List None Mid Cap Watch List None Small Cap Watch List CHS - Stock tried to clear its 50 day earlier in the session but so far without success. PLEASE NOTE THAT WE ARE RAISING THE STOP ON CHS TO ANY CLOSE BELOW THE 20 DAY MOVING AVERAGE, CURRENTLY AT $8.95. Any close below that level and the stock will be removed from the Watch List. Deletions from Watch List None At your service, John Hopkins EarningsBeats