EB Watch List Update Report

Dear Members: Market Update: The love fest with blue chip stocks continues with the Dow hitting a new all time high as it inches closer to 27,000. The rotation out of "risk" stocks into those seen as safer bets in the current environment has become more apparent the past month with the NASDAQ losing its status as the go-to index. Maybe some good news for traders; there are MANY stocks, particularly in the NASDAQ, that are extremely oversold that might soon be seen as bargains. We've got a few of those stocks on our Watch List that could bounce substantially IF traders start putting money into some of the beaten down stocks. However, we will stick to our discipline of tight stops just in case we see further selling. The S&P tried to clear resistance at 2940 but so far has been unsuccessful in reaching a new all time high; the bears are well aware that they could be in more trouble if the S&P hits a new high. Even with the NASDAQ lagging here the bulls remain in charge. IF they can find a way to get all of the major indexes humming in sync traders might get more excited, especially with earnings season ready to kick off late next week. Companies reporting earnings today (October 3) Before Market Opens: AYI and LEN After Market Closes PIR Companies reporting earnings tomorrow (October 4) Before Market Opens: STZ After Market Closes: COST ADDITIONS TO WATCH We added PVTL and WSM to the Watch List yesterday with additional details below. We will keep you posted on any new trade opportunities, especially those with high reward to risk potential. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None LONGS: Large Cap Watch List None Mid Cap Watch List CREE - Stock hit our second entry level of $37 yesterday so currently is at a blended price of $37.36. It is at extreme oversold levels. However we will keep our stop of any close below $36.50. DOCU - Stock is down slightly and is oversold. IF it can catch a bid it could bounce nicely. In the meantime we will keep our stop at any CLOSE below $45.20. PVTL - We added this stock to the Watch List yesterday at an initial entry price of $18.94 with a second entry on any pullback to $18.50 with a stop of any CLOSE below $18.40. WSM - We added this stock to the Watch List yesterday at an initial price of $64.43 and our second stop of $62.75 hit this morning so is currently at a blended price of $63.59. Stock is also oversold but we will keep our stop of any CLOSE below $62.50. Small Cap Watch List None Deletions from Watch List None At your service, John Hopkins EarningsBeats