EB Watch List Update Report

Dear Members: Market Update: We've got a new trading day and week with all of the major indexes higher as the bulls continue to control the momentum. Even the bulls must know the market is overbought here but so far this does not seem to be an issue. However, it's at least worth noting that the VIX is higher, perhaps some type of acknowledgement that the market really does need some relief. The S&P finally moved above 2800 for the first time since early December with 2815 now important resistance; it stalled at that level back in Octoberof last year and then again in November and hasn't been able to get back to that level since then. At this point stochastics on all of the major indexes are deep into the 90's while RSI's are over 70 - text book oversold. So it's now a matter of when, not if, we'll see some profit taking. It doesn't mean we have to see that today but it does mean that stocks bought at this level take on added risk. Good news that many stocks that recently reported earnings have made strong moves higher; they aren't worth chasing here but at some point they will pull back to levels that make them worth pursuing. Companies reporting earnings today (February 25) Before Market Opens: None After Market Closes ETSY, HTZ and MOS Companies reporting earnings tomorrow (February 26) Before Market Opens: , AZO, BMO, BCC, LNG, DISCA, HD, TREE, M, SERV, SJM, TRI and WYND After Market Closes: MYL, PANW, PSA, TOL and VEEV ADDITIONS TO WATCH LIST Will let you know if there are any additional trade alerts. At this point it makes sense to let stocks settle down and pull back to levels that increase our reward to risk. 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