EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Thursday: ADS, ATHN, ATVI, AZN, BWLD, CME, CI, CMI, CSL, DNKN, EL, EXPE, GPRO, ICE, KORS, LNKD, MTD, NWS, P, PM, PRGO, S, SIRI, SNCR, SNY, SRCL, SYMC, TWTR, VMC, VRSN Friday: ALU, CBOE, CCJ, HRS, MCO, MMC MARKET NOTE: The rally continues, this time being led by materials and energy stocks. Steel ($DJUSST) had been a lagging group for quite sometime, but today is beginning the feel the positive effects of recently printing a long-term positive divergence. For now, rotation is keeping the stock market afloat, but eventually we'll need to see breakouts in critical areas of the market - home construction stocks ($DJUSHB) need to clear a MAJOR 550 resistance level - in order to carry the market substantially higher. Tomorrow morning, we'll get the latest nonfarm payroll report and this always has the potential to move the equity and bond markets in a major way. Buckle up! ADDITIONS TO WATCH LISTS: There are no new Watch List stocks being added at this time. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List: HSIC - Continues its recent ascent. RAX - Excellent rebound and recent performance off the kick save on Monday. 48.24 is the key closing resistance level to watch (and potentially take profits at). Mid Cap Watch List: CUBE - With a solid daily MACD in play, CUBE bounced off its 20 day EMA like you'd expect. However, the MACD looks bad as prices rebound. Therefore, I'd be a seller from the current price up to 25.78. SYNA - Nearly touched 80 today. Excellent performance since being added last Friday. TASR - Up today, but really just consolidating on light volume for now. VDSI - Volume increasing as VDSI attempts to clear a key short-term hurdle - its 20 day EMA. Action looking stronger here especially with a nice finish this afternoon. 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