EB Watch List Update Report

Dear Members: The bulls have nothing to complain about this morning with all of the major indexes higher as we begin a new trading day and week. For the first time since early December both the NASDAQ and S&P are above their respective 20 day moving averages, at least on an Intra Day basis. The Dow remains below all key technical levels as blue chip stocks lag. Interestingly the VIX is fairly flat. In other words, in spite of this positive action today traders are wondering if early gains will hold. The follow through buying today comes after Friday's strong jobs report and the Fed signalling they would be more open minded when it comes to interest rates. It's the kind of information the bulls were hoping for. So, is the market out of the woods here? I doubt it. It had gotten pounded pretty well and oversold some. It will be interesting to see if the bulls can maintain control here or if this will be a temporary bounce. First the S&P needs to close above its 20 day, currently at 2538. That would at least give the bears something to think about. Next, the VIX needs to continue to fall; as long as it remains above 20+ traders will remain skeptical. Earnings season will kick into high gear starting next week when the banks start reporting on Monday. Might traders get cold feet ahead of reporting season? It's possible. But for now the bulls are enjoying a few nice days of relief and we'll want to see if they can build on their new found momentum or if the bears can regain control. Companies reporting earnings today (January 7) Before Market Opens: None After Market Closes None Companies reporting earnings tomorrow (January 8) Before Market Opens: None After Market Closes: None ADDITIONS TO WATCH Will keep you posted on any additions to the Watch List BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: None LONGS: Large Cap Watch List None Mid Cap Watch List None Small Cap Watch List None Deletions from Watch List None At your service, John Hopkins EarningsBeats