EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Friday: FAST Monday: None - Columbus Day (stock market is OPEN) Tuesday: ADTN, C, CSX, INTC, JBHT, JNJ, JPM, LLTC, WFC MARKET NOTE: Technical damage has been inflicted in many areas today and over the past several days. Perhaps the most damaging is the HUGE loss in the semiconductors ($DJUSSC) today. They did bounce off intermediate-term support at 1578 so watch that level on the close today and over the next several days. That weakness in the DJUSSC, however, has led to huge losses on the NASDAQ - especially at its intraday lows this morning. 4324 is key support on the NASDAQ and so far that level has held. Leaving long tails to the downside and finishing strong would aid the bulls in the near-term, along with options expiring next Friday. Still, the bias is to the downside and the unrelenting advance in the Volatility Index ($VIX) has threatened the 5 1/2 year bull market. Please be careful as whipsaw action continues. ADDITIONS TO WATCH LISTS: There are no additions 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 - Triggered 2nd entry at 205 and so far holding that level. NTAP - Has triggered both our entry points and earlier threatened our Closing Stop of 39.00 before bouncing. This is a solid high return, low risk entry point. PLL - Another test of 82.00 support today and it's bouncing off that level again. Mid Cap Watch List: AMBA - Price support is 38.75. After falling to 36.50 earlier, AMBA is now back above that support level. If you trade this one, wear a crash helmet and seat belt. JACK - There aren't many better relative performers out there. Despite all the noise in the market, JACK is again attempting to break out to fresh highs. SNCR - Been a little nervous about this one because of the long-term negative divergence, but today's weakness saw a near 50 day SMA test. That may be enough to launch this one again. VEEV - After triggering our third and final entry at 25.00, I love this potential reversing candle. The low today also tested trendline support from the lows formed in May and August. Great reward to risk from the 25.00 level. Small Cap Watch List: NX - Yet another kick save at 17.50 despite an incredibly weak Russell 2000 and home construction index ($DJUSHB). The reversal in the DJUSHB today is noteworthy and could lead to a reversal of fortunes for NX in the near-term. DELETIONS FROM OUR WATCH LISTS: There are no deletions today unless closing stops are violated. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com