EB Watch List Update Report

Dear Members: Market Update If you're wondering what "no-man's land" is you might be looking at it now with all of the major indexes off session high. On the one hand there's been some pretty strong earnings, witness Xilinx, up almost 19% and Texas Instruments, up over 5% after reporting last night. But then we have Commerce Secretary Wilbur Ross saying the US and China are "miles apart" when it comes to any trade deal. And of course the government continues to be shut down. Generally strong earnings wins out but then you have to wonder if the monster move off the recent low factored in some better than expected numbers. We did see all of the major indexes hold their respective 50 day moving averages the past few sessions as the bears tried to inflict some damage and as buyers stepped in on the dip. Then there's the VIX - which is well off the most recent high that corresponded with the big market move to the upside - but is at a high enough level that continues to show enough worry to keep the market from advancing much further. One thing to consider is this. Even though the bulls are making it difficult for the bears to regain control , and even though we've seen some strong earnings results, the market is well off the highs from last week. For example, the NASDAQ is almost 140 points off that recent high in spite of strong showings by large cap tech companies like IBM, Xilinx and Texas Instruments. Thus the reference to no-man's land; the bulls able to hold a lot of the recent gain but unable to make much progress. So the recent stalemate continues with resistance on the S&P remaining at 2675 and support near the 50 day, currently at 2616, with the S&P currently right in the middle of the range. Companies reporting earnings today (January 24) Before Market Opens: AAL, BAC, BMY, GWW, HBAN, JBLU, MKC, LUV, TXT and UNP After Market Closes ALK, DFS, ETFC, INTC, ISRG, NSC, SBUX and WDC Companies reporting earnings tomorrow (January 25) Before Market Opens: CL, DHI and ERIC After Market Closes: None ADDITIONS TO WATCH LIST As earnings season builds we will be updating the Candidate Tracker and will keep you posted. Will also keep you posted on any further additions to the Watch List. Would like to wait for a much better set-up than exists right now. BRIEF COMMENTS ON WATCH LIST STOCKS SHORTS: ERF - Stock is higher by 1% after moving lower earlier in the session. 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