EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Wednesday: VRA Thursday: KR, LULU, ULTA MARKET NOTE: Thus far, the bulls are pleased that rising 20 day EMA support is holding. The bad news, though, is that the afternoon action on Tuesday turned quite bearish. We haven't seen much afternoon weakness over the past few weeks so we should take note. If this pattern continues, we'll likely lose short-term price/gap/moving average support, which would turn the odds in favor of the bears in the near-term. So.....a big finish awaits us today to see if the bulls can maintain the upper hand they've enjoyed most of the time since the April lows. ADDITIONS TO WATCH LISTS: There are no Watch List additions for 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: BIDU - Could take an initial position here at 20 day EMA or wait to see if it reaches recent price support near 213.00. The overall market direction could help to dictate which one is ultimately the best entry. CMG - Weakening and that suggests we could be heading for a key test at 350.00, which would represent a solid technical entry point. FDX - Test of both its 20 day EMA and 50 day SMA makes for a solid re-entry point if you sold at price resistance near 154.00 recently. Mid Cap Watch List: DSW - Approaching its rising 20 day EMA. A bounce off this key moving average will help us to determine an uptrend has truly begun. JACK - Breaking out of its ascending triangle pattern - bullish. I'd like to see more volume this afternoon to confirm. SNCR - Slightest of long-term negative divergences could be telling us a 50 day SMA test would be best entry. We'll be patient and simply watch for now. 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