EB Watch List Update Report

Dear Members: Market Update: The market correction continues , particularly in the NASDAQ, with all of the major indexes down substantially. For the first time in three months the S&P has dipped below its 50 day moving average while the NASDAQ is within striking range of its 200 day, a level it has not been below since July, 2016. Even the Dow is testing its 50 day as blue chips join in the selling. It's always something to watch when the market gets slammed after being so strong for so long and when the selling intensifies like it has traders want nothing to do with the market which often signals a bottom is getting close. At its peak today the VIX got close to the highs of June. In fact it went slightly above the June 28 high of 1899 which represented the bottom in the S&P of 2691 before three months of gains leading to the all time high. Since the NASDAQ has led the charge lower lately it's the index that might give us the most clues about where the market is headed. For example, if the selling continues it is highly likely we could see a test of the 200 day moving average, currently at 7500. At its low of the day the NASDAQ was within 50 points of that key technical level. And though the NASDAQ is currently at oversold levels there's still room to fall if the buyers strike continues. Though we've seen a number of our alerts stop out lately, we've also seen what can happen if they move below key stop levels. DOCU, TLYS and WSM serve as recent examples and our 4 existing alerts are highly challenged as well. In fact, we will be reviewing all 4 alerts early afternoon to see if any further adjustments are in order knowing that any sudden reversal could be a positive development for those stocks that have been beaten down. So stay tuned. Companies reporting earnings today (October 10) Before Market Opens: FAST After Market Closes None Companies reporting earnings tomorrow (October 11) Before Market Opens: DAL and WBA After Market Closes: None ADDITIONS TO WATCH We will continue to look for stocks with high reward to risk potential that could be getting close to a bottom. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None LONGS: Large Cap Watch List None Mid Cap Watch List CREE - Stock made another near term low before bouncing some. Current stop is any close below $35.29 but that could change and we will keep you posted. PVTL - Stock is lower by over 3.5% with a stop of any close below $35.40 but that could change and we will keep you posted. A close back above yesterday's close of $19.50 would be a good start to a possible reversal. Small Cap Watch List VSI - Stock is bucking the trend today, up slightly and a close back above $9.17 would be bullish. GIII - Stock is down over 3.5% after hitting both entry levels yesterday. Current stop is any close below $38.80 but that could change and we will keep you posted. Deletions from Watch List None At your service, John Hopkins EarningsBeats