EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Monday: ASNA, HTZ, JKS, MBI, MDR, ROC, SCTY Tuesday: AZO, BNS, RSH, SWHC NOTE: There are lots of fundamental reasons why the market is selling today - China manufacturing is slowing, European markets were selling and the Russia-Ukraine conflict is growing. In my opinion, however, the U.S. stock market was poised for a selloff and it simply needed a reason. It received three reasons today and the bears are taking advantage of it. ADDITIONS TO WATCH LISTS: There are no additions to our Watch Lists today. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: SJM - Closed at 100.01, which was a very technical violation of our 100.00 Closing Stop. I'd give it more than a penny though so we'll continue to follow it. Large Cap Watch List: CAT - It's close to its rising 20 day EMA, which represents a decent first entry point. The second entry point would be 94.00. CNQR - The rising 20 day EMA was violated on today's open. Should the weakness in the overall market continue, 110-113 cannot be ruled out here. That would be best entry. FFIV - Holding its 20 day EMA support thus far, but that nasty long-term negative divergence is suggesting this support is likely to be temporary. I prefer re-entry on a 50 day SMA test. MCO - Near our initial entry from Friday. It didn't quite reach our Second Entry at 76.50. UA - Didn't quite reach our Initial Entry of 109.18, but did fall 10 bucks off its recent high. The lower it gets, the more appealing it looks. Mid Cap Watch List: ATK - Very nice action, especially relative to the weak overall market. Volume picking up as well. RRD - Has triggered both our entry points. We have a tight stop at 18.50, but you can use a slightly lower level to provide more room. I'd be careful going much below 18.25, however. Small Cap Watch List: MRIN - Struggling today with the Russell 2000. Our second entry at 10.73 represents nice price support. DELETIONS FROM OUR WATCH LISTS: There are no deletions today unless Closing Stops are violated. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com