EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Monday: MCD, ILMN, NFLX, TXN, VMW Tuesday: ALTR, AMGN, BRCM, COH, CREE, DAL, DD, EMC, ITW, JNPR, LMT, PNRA, STT, UTX These are a minor few of the companies reporting today and tomorrow. Please check the earnings dates for any stocks you own. ADDITIONS TO WATCH LIST: Google (GOOG) was added over the weekend. BRIEF COMMENTS ON WATCH LIST STOCKS: Large Cap Watch List: A - failing to hold its breakout level thus far. I like it for initial entry at the rising 20 day EMA. FOSL - broke out above 120.00 on Friday. Down a little today, but appears to be heading higher. 126.50 remains the target. PCLN - solid volume today as it clears its previous high and moves towards our target of 1125.00. CRM - broke out on Friday and gapped higher today. The black candle printing thus far, however, is a bit ominous short-term. The negative divergence also is of concern. 50.00 looks like good support if the recent breakout fails to stick. Mid Cap Watch List: AYI - broke out on Friday and adding to that strength today. Volume is not off the charts, but it's not bad either. We did adjust our trading strategy on this one over the weekend. Check out the updated chart and trading strategy when you get a chance. The rising 20 day EMA will now be considered our initial entry. BRCD - over the past few weeks, BRCD actually consolidating in an ascending triangle - bullish. GPN - breaking out, but on light volume. I love the stock, but I'll see if we can get it cheaper. HAR - trading strategies changed over the weekend and I've updated the chart. Be sure to check it out. MEI - volume trends here continue to suggest accumulation. But we could use a bit more selling near-term before entry. We haven't changed the trading strategy here, but 25.25-25.75 would be a decent price to establish a small position for those not wanting to wait for a further drop. EGOV - making a HUGE breakout today with very heavy volume. 23.81 would now represent the best initial entry, but earnings is only a couple weeks away. We'll keep watching this one, but it might be unlikely we'll trade it. UNFI - continues its recent breakout. I will be updating our trading strategy on UNFI later this evening. Small Cap Watch List: These small caps have been a very strong group and are not providing any entry points at this time. DELETIONS FROM OUR WATCH LISTS: No deletions today. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com