EB Watch List Update Report

Dear Members: Market Update: In some ways the market is in "no-man's land" with the caveat that the bulls seem to have an edge here. On the one hand the major indexes are flirting with overbought territory. On the other hand, and as we've seen first hand, it's very difficult to short stocks in the current environment. At the same time we've got a major summit between the US and North Korea getting ready to start with the Fed waiting in the wings as it gets ready to make its interest rate announcement on Wednesday and option expiration coming up on Friday. The VIX still favors the bulls as it remains below all key technical levels. For sure the NASDAQ got very overbought with traders recognizing it was stretched as it neared 7700 and thus the pullback late last week. The S&P got as high as 2785 today, just 15 points from what could be tough resistance at 2800. So you can see there could be limited upside here but traders aren't heading for the exits in droves as the overall mood remains mostly positive. Bottom line at the moment is stocks remain in favor but become more vulnerable the closer we get to that 2800 level on the S&P. Said another way; we're almost 200 points off the May 3 bottom and about 15 points from major resistance, maybe not a bad time to lock in profits while waiting to see if that 2800 level is cleared or if we're seeing a short term top. Companies reporting earnings Today (June 11) Before Market Opens: None After Market Closes: None Companies reporting earnings tomorrow (June 12) Before Market Opens: None After Market Closes: HRB and SAIC ADDITIONS TO WATCH LIST Will keep you posted on any new alerts. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: KMX - Stock moved above our Intra Day stop of $74 earlier today so will be removed from the Watch List. LONGS: Large Cap Watch List None Mid Cap Watch List PE - Stock is higher by over 1.5% and would still like to see it close back above $28 which would be bullish. Small Cap Watch List CATM - Stock moved below our revised stop of $25.40 so is being removed from the Watch List. PBH - Stock is fairly flat after trying once again to clear the $36 level before pulling back. Would like to see it close above that which would be bullish. Deletions from Watch List KMX and CATM At your service, John Hopkins EarningsBeats