EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Wednesday: AXP, BAC, EBAY, IBM, PEP Thursday: AMD, BSX, CMG, GOOG, GS, ISRG, NVR, UNH, VZ Friday: BHI, GE, MS, SLB, STI ADDITIONS TO WATCH LIST: Charles Schwab (SCHW) was added yesterday. There are no new additions today. BRIEF COMMENTS ON WATCH LIST STOCKS: Large Cap Watch List: SCHW - performing well on our first day on the list. Volume has been very strong to accompany this earnings beat. I see this one higher as we move deeper into Q4. FOSL - can't seem to break through 120.00, but it also doesn't seem to give up support near its 20 day EMA and 50 day SMA. Like the politicians, there's a stalemate here. MELI - pushing higher, but volume has been very light of late. The closer it gets to 140.00, it becomes a short-term sell if you own it. Ultimately, I still like the 147.00 target, but there could be hesitation or even some selling at the 140.00 level. NKE - creeping closer and closer to our initial target of 75.00. Wouldn't be a bad idea to consider taking profits soon. CRM - never hit our entry points, but today's solid action is lifting it closer to initial resistance close to 53.50. Mid Cap Watch List: ASNA - trading back near its initial entry point. BRCD - is fine technically. There just wasn't enough volume to carry it through price resistance at 8.36. DXCM - yesterday changed initial entry to 29.19. We didn't hit that level today, but DXCM did finish well off its high from yesterday so perhaps we'll get an opportunity to enter soon. GPN - did not trigger any entry yet, but the recent strength is taking it closer to 57.00 resistance. Like DXCM, we may change our trading strategy on this one if it breaks out. LYV - breaking out, but doing so with little volume. We won't chase. UNFI - failed at resistance earlier today. It might struggle near-term as there was very little volume to support a breakout at this time. VRNT - hasn't triggered entry, but it's working its way closer to our initial entry at 35.50. Nice volume on today's reversal though. Short-term support can be found close to 36.40 for anyone wanting to begin to build a position earlier. Small Cap Watch List: None of our small cap stocks have shown any weakness of late. Stocks like EXTR and FSS seem to move higher every day. While that may be frustrating in the very near-term, history and experience tells me it doesn't pay to chase. DELETIONS FROM OUR WATCH LISTS: VCRA - removed yesterday. No further deletions today. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com