EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Monday: APC, CF, CME, ED, EXTR, K, MRO, SYY, UNM, VMC, VNO Tuesday: AGU, AOL, ASH, CTRP, CVS, ENR, FOSL, HAIN, ICE, KORS, LYV, MELI, NYX, OKE, RRGB, SAPE, TSLA, VRSK, WFT, Z These are just a few of the companies reporting today and Monday. Please check earnings dates for any stocks you own. ADDITIONS TO WATCH LISTS: We are adding the following companies to our Watch Lists: Large Cap: Vulcan Materials (VMC) Mid Cap: First Solar (FSLR) NuVasive (NUVA) Generac Holdings (GNRC) Gentex (GNTX) Small Cap: Merit Medical Systems (MMSI) 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. Also remember 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: FRX - Volume trends remain very strong, but we've seen little in the way of a pullback. Still, the RSI has at least moved out of overbought territory. FOSL - REPORTS EARNINGS TOMORROW AND IS BEING REMOVED FROM OUR WATCH LIST AT THIS TIME. GOOG - Showing slight weakness today, but still lots of room down to both rising 20 day EMA support and gap support. MCK - Love the continuing volume on this one as it moves higher - apparent accumulation. MCHP - Has pulled back some after moving above 44.00 on earnings day. Still has further to go for our next entry. PRGO - This one represents the argument for buying an initial position at the time a stock is added to our Watch List. It has wings. PCLN - Bouncing off 20 day EMA. Mid Cap Watch List: AYI - Bouncing off the 20 day EMA and price support mentioned on Friday. ASNA - Gaining strength. Love the recent successful 20 day EMA tests. A break above the 20.60 area is what we're looking for - higher volume would help. BRCD - Working its way back towards 8.36 price resistance. CIEN - For the 4th consecutive day, CIEN trades near its key 23.37 price support. HAIN - REPORTS EARNINGS TOMORROW AND IS BEING REMOVED FROM OUR WATCH LIST AT THIS TIME. KFY - Weak today, but it does have a long-term negative divergence in play. Volume trends are very strong though, so a continuing rally wouldn't be a shocker. LXK - Missed second entry a few days ago by two pennies, but seems to be gaining momentum today. It appears to be resuming the right side of the cup. LYV - REPORTS EARNINGS TOMORROW AND IS BEING REMOVED FROM OUR WATCH LIST AT THIS TIME. MEI - Discussed the bullish implications if MEI could see a reversing candle on Friday. It did just that, printing a hammer and today MEI is surging 6.6%. A close back above the 20 day EMA would be bullish. EGOV - Nice rally off gap support. THOR - Today's low of 41.65 was just 15 cents off our 2nd entry at 41.50. It has since recovered, but remains range bound for now between 41.00-43.50. Small Cap Watch List: FSS - Up almost 2% today after triggering initial entry off the 20 day EMA test late last week. LIOX - If you entered an initial position in LIOX when it first hit our Watch List, you're up close to 20% as LIOX approaches our target of 5.30. I'd consider taking profits and seeing if you can re-enter on a pullback later. NTRI - Another stock that simply won't pull back. DELETIONS FROM OUR WATCH LISTS: The following stocks are being removed from our Watch Lists as their earnings are expected out on Tuesday: FOSL HAIN LYV Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com