EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Thursday: BEBE, CIEN, COO, FNSR, HOV, JOY, KFY, PAY Friday: None MARKET NOTE: The European Central Bank announced in a surprise move this morning that they were cutting interest rates and deploying an asset-backed securities purchase program. That initially lifted stocks around the globe although we have seen a move down off those earlier highs. Reversing candles printed on many indices and sectors yesterday and did so on increasing volume. So until those intraday highs from Wednesday are cleared, I'd be cautious in the very near-term. Rising 20 day EMAs should be expected to provide support during any upcoming period of selling or profit taking. ADDITIONS TO WATCH LISTS: We'll be adding several more stocks to our various Watch Lists over the next couple days, but there are no additional Watch List stocks being added today. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List: FDX - Nearly touched closing resistance of 154.38 earlier in the session. Today's high was 154.24. This represents a solid short-term exit point to take profits until the 154.38 level can be cleared on a closing basis with increasing volume. Until then, 148-150 should represent nice short-term price and trendline support. NTAP - Been moving solidly higher, but if you look back to early February, you'll see a heavy volume gap down from 42.23. It makes sense that the current rally could stall here. Wait for a period of consolidation and perhaps a 20 day EMA test for initial entry. CRM - 60 continues to serve as short-term price resistance, although I believe it's just a matter of time before we clear that level and push higher. SPR - Great performance, but severely overbought. Can't chase it. Mid Cap Watch List: JACK - Again moving back towards the breakout level of its bullish ascending triangle pattern. A close over 62 on solid volume would confirm this pattern and measure to 72. Small Cap Watch List: There are no Small Cap Watch List stocks at this time. DELETIONS FROM OUR WATCH LISTS: There are no deletions today unless closing stops are violated. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com