EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Friday: ALU, CBOE, CCJ, HRS, MCO, MMC Monday: CNA, CSC, DO, GOLD, HAS, L, NTES, TDW MARKET NOTE: Nonfarm payrolls hit the wires at 8:30am EST this morning and traders liked what they saw, which were better than expected numbers for January and significantly higher revisions for December. So at least for now, the rally continues as the upper end of our consolidation range approaches. Financial stocks, especially specialty finance companies ($DJUSSP) and banks ($DJUSBK), are leading the charge today. The former is breaking out to a fresh new high and we're adding a stock within this space to our Watch List today after blowout earnings were reported. ADDITIONS TO WATCH LISTS: Large Cap Watch List Addition: MCO - $20.5 billion market cap, initial entry at current price (98.29) with additional entry, target and stop information provided via an annotated chart on our website over the weekend. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List: ADBE - Strengthening and now testing the upper downtrend line in its recent flag pattern. A close above 74.06 on increasing volume would be very bullish. RAX - Strong week with 48.24 closing resistance just a stone's throw away. Volume is light so don't hesitate to book at least partial profits. Mid Cap Watch List: SYNA - Trading sideways past few sessions, but still well above initial (gap) support at 75.12. VDSI - Volume increased on Thursday and VDSI closed above its 20 day EMA for the first time since late December - bullish news. Pulling back today after a nice gap higher. 25.00 will represent short-term price resistance and could be used to book profits if you bought near key support just above 21.00. 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