EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Wednesday: BA, BIIB, CTXS, DOW, EMC, GD, LRCX, NOC, NSC, R, T, TSCO Thursday: AAL, ALTR, AMZN, CAT, CMCSA, CS, GM, JNPR, KLAC, LLY, LUV, MMM, MSFT, OXY, POT, RTN, SYNA, UA, VRSN, WYNN MARKET NOTE: The strength continues. I've got to give the bulls their due. They took out falling 20 day EMA resistance on Tuesday's close and thus far we're seeing the advance continue. One possible word of caution with today's trading however - utilities and consumer staples are back at the top of the sector leaderboard so the money that is coming into the market is somewhat cautious. That doesn't guarantee us this rally will fail, just simply tells us the risks remain high. ADDITIONS TO WATCH LISTS: There are no additions to our Watch Lists today. We'll be looking to add a few names here over the next 3-5 trading sessions. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List: NKE - Made the breakout yesterday, but volume was suspicious and there is a long-term negative divergence on this breakout. You could either take profits here OR raise your closing stop to 90 to avoid riding a move back down to the 50 day SMA on market weakness. PLL - Super breakout yesterday and volume was moderate. 86.00 is the next level to negotiate to the upside. Mid Cap Watch List: AMBA - Gap resistance continuing to be the short-term story here. JACK - Breaking out again, but where's the volume? Also, there's a long-term negative divergence in play, so consider raising your closing stop to 69.19 if you own this one. SNCR - Solid volume supporting this possible breakout today - nice action. Small Cap Watch List: NX - Now has a pair of intraday highs just shy of our 19.35 target. Very nice action for sure. DELETIONS FROM OUR WATCH LISTS: There are no deletions today unless closing stops are violated. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com