EB Watch List Update Report

Dear Members: Market Update The market is finally getting some much needed relief with all of the major indexes up sharply. For many months stocks were gobbled up on any pullbacks. Now, even though the market is higher today, it has taken a lot of convincing to get traders to jump in on the long side as both the NASDAQ and S&P have struggled to breakout in any meaningful way from their respective 200 day moving averages. There is some good news for the bulls. First, the VIX has dipped back into the teens, down another 10%+ today as fear has subsided some. Next, all of the major indexes have put in higher lows the past three sessions. That's not a long track record but you have to start somewhere. Also, even though it's a bit of a struggle, all of the major indexes are above their respective 200 day moving averages; now we need to see if they hold. It's helping some that a number of banks beat earnings expectations; traders have been waiting to get some positive news. It won't come as a surprise to hear the key at the moment is to see if early gains hold as recently that has been very challenging. If the bulls can build some momentum into the close, and as more companies report their numbers, we just might see a near term bottom. And it would help if both the NASDAQ and S&P can hold nicely above their respective 200 day moving averages rather than just eeking it out by day's end as there's plenty of room to move higher here if traders start to believe the worst of the selling is over. Companies reporting earnings today (October 16) Before Market Opens: BLK, CMA, DPZ, GWW, JBHT, INFY, JNJ, MBWM, MS, PGR and UNH After Market Closes ADTN, CREE, CSX, HWC, IBM, LRCX, NFLX, PNFP and UAL Companies reporting earnings tomorrow (October 17) Before Market Opens: ABT, M&T, MTG, UNF, USB and WGO After Market Closes: AA, BXS, KALU, KMI, STLD and URI ADDITIONS TO WATCH We added SPLK to the Watch List yesterday with additional details below. We will keep you posted on any additions to the Watch List. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None LONGS: Large Cap Watch List SPLK - We added this stock to the Watch List yesterday with an initial entry price of $102 and a second entry on any pullback to $98.50 with a price target of $113 and a stop of any CLOSE below $98. Today it is higher by 3.5% and a close back above its 200 day moving average currently at $105.21, would be bullish. Mid Cap Watch List CLDR - Stock is higher by 1% and consolidating as it remains below all key technical levels. It really needs to clear its 50 day moving average, currently at $15.96, to gain momentum. Right now the stop is any close below $15.25. That could change and if it does we will keep you posted. OKTA - We issued a profit alert on this stock this morning as it was up 10% from just a few days back. GREAT TRADE!. AEO - Stock is lower by 1% as it slips back below its 200 day moving average. Would like to see it close above that level, currently at $21.85, which would be bullish. Small Cap Watch List SCVL - Stock is down slightly after making a nice move off of lows the past few sessions. Any positive move into the close would be bullish. EXPR - Stock took a shot at its 200 day earlier in the session before pulling back. A close above. $8.80 would be bullish. Deletions from Watch List None At your service, John Hopkins EarningsBeats