EB Watch List Update Report

John Hopkins - August 15, 2018

Dear Members: Market Update: Volatility continues to rule with the VIX up over 20% as the market experiences some much needed correction. While the Dow and S&P have already challenged their respective 50 day moving averages earlier today the S&P got within 2 points of the 2800 support level before bouncing. The pressure today seems to stem from turmoil in Turkey though there could be other reasons for today's selling including good old profit taking. I'm particularly keeping an eye on the NASDAQ today as it hasn't been below its 50 day (currently at 7735) since early May. So a close below that level could be a set up for additional selling. Of course the bulls have been down this road many times all year long and have managed to hold key support on multiple occasions. That can always change but it would not be surprising to see traders nibbling on further selling. Should the S&P close below 2800 the next key level of support is the 50 day, currently at 2789 a level the bulls are sure to try to defend. In any event it makes sense to be very selective here to see how things unfold as the day progresses. Companies reporting earnings today (August 15) Before Market Opens: None After Market Closes: BGG and CSCO Companies reporting earnings tomorrow (August 16) Before Market Opens: WMT After Market Closes: JWN and NVDA ADDITIONS TO WATCH LIST We added CSTM to the Watch List this morning. We also issued an alert on CLF that will be added to the Watch List if it pulls back to $9.30. Additional details can be found below. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None LONGS: Large Cap Watch List None Mid Cap Watch List None Small Cap Watch List CSTM - We added this stock to the Watch List this morning at an entry price of $11.30 with a price target of $12.85 and a stop of any CLOSE below $11.10. CLF - Stock will be added to the Watch List if it pulls back to $9.30. Price target is $10.50 with a stop loss of any INTRA DAY move below $9. Deletions from Watch List None At your service, John Hopkins EarningsBeats