EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Monday: AAPL, BIIB, EXTR, FMC, HTZ, KEX, L, MAS, MELI, MRK, OII, STX, SOHU Tuesday: ADM, AET, AFL, AGN, AMP, AMTD, APD, BIDU, BP, BWLD, CMI, EA, GILD, HRS, LNKD, NOK, PFE, TRLA, VLO, WM These are just a few of the companies reporting today and Monday. Please check the earnings dates for any stocks you own. ADDITIONS TO WATCH LIST: The following stocks will be added to our Watch Lists at their current price. ELY (Small Cap) BLDR (Small Cap) MCK (Large Cap) FOE (Mid Cap) Keep in mind that we have adjusted our trading strategies to allow for an initial entry at the current price. 2nd and 3rd entries will be provided on the annotated charts that will be provided this evening. If you prefer keeping risks low, even if it means missing out on upside, consider waiting for the later entries instead of taking an initial position at current prices. Keep in mind that stocks will continually be added throughout earnings season. Therefore, review the stocks identified and consider owning those that are most appealing to you. Don't feel compelled to buy every stock added. BRIEF COMMENTS ON WATCH LIST STOCKS: Large Cap Watch List: SCHW - bouncing off the earlier high volume test of the rising 20 day EMA. FRX - finally showing some weakness. Could use more short-term selling to relieve overbought conditions. HAS - has stalled in the short-term. This is another that could use a little relief on its overbought oscillators. NUS - hesitating at 117.11 gap support. On re-entry, consider price support close to 110.00 or the rising 20 day EMA as an initial entry. Mid Cap Watch List: ASNA - having its best day since it was added to the Watch List. A close above 19.79 could lead to more short-term technical buying. BRCD - recovering from recent selling. The 50 day SMA, currently at 7.93, along with price resistance from 7.95-8.00 and the 20 day EMA, now at 8.05, all could provoke technical sellers. Obviously, a close back above all these levels would be bullish. CIEN - has fallen between its initial entry point at 24.74 and price support (2nd entry). DXCM - testing recent highs after falling back to trigger initial entry at 29.19. Very short-term traders could take small profits and see if the 29.19 level is visited again for re-entry. HAIN - now testing that long tail from August 22nd. Nice volume on this latest push higher suggesting accumulation underway. LXK - bouncing slightly after closing just beneath gap support on Thursday and Friday. LYV - thinking we might see some short-term weakness as a long-term negative divergence prints on lesser volume. MEI - failing to hold Friday's breakout with a long-term negative divergence in play. We're changing our strategy on this one, will have an updated chart tonight with details. RAD - 20 day EMA test, but with negative divergence in play, this might not hold right now. Remaining patient. TIBX - another tail beneath 25.00. VRNT - after testing resistance recently, falling back again. Our initial entry remains at 35.50, although 36.25 could provide some short-term support. Small Cap Watch List: FSS - came within a nickel of the recent closing resistance. Now backing off again. SHOR - negative divergence suggests 20 day EMA test today may not hold. Slight adjustment to trading strategy - will be posted tonight. TASR - testing its 20 day EMA on today's pullback. ZLC - was down earlier, but has bounced back nicely. With its RSI moving closer to the 40s, we may see a move higher on this one sooner rather than later. DELETIONS FROM OUR WATCH LISTS: None at this time. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com