EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Friday: None Monday: BID, MYL, NBR, ROC, SINA, SSYS MARKET NOTE: For a second day in a row, there were mixed economic reports. GDP was revised lower from 2.6% to 2.2%, but analysts were expecting a revision down to 2.1% so the GDP number wasn't bad. February Chicago PMI, however, tumbled from the upper 50s down to the 45 area, with analysts blaming the drop on the weather. This is a pet peeve of ours though. Didn't analysts know that February weather was bad when they provided their estimates? Why didn't they use the weather as an excuse to lower their forecasts PRIOR to the news hitting the wires? Market action is a bit lower on the session, but not bad considering the gains we've seen for the month of February. Apparel retail ($DJUSRA) is having a very nice day and a solid earnings report from Monster Beverage (MNST) is leading both soft drinks ($DJUSSD) and the consumer staples sector to outsized gains on the session. ADDITIONS TO WATCH LISTS: There are no additions to our Watch Lists today. 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 - Volume is nice today as it once again breaks out with a strengthening MACD - solid action. AN - Lagging lately, but sitting just beneath its 20 day EMA and right on price support at the moment. BA - Profit taking has been the norm of late, but the rising 20 day EMA may change that soon as buyers could return at that level. ESRX - Triggered our second entry at the rising 20 day EMA and managed to close just above our tight closing stop at 84.50. Would like to see a reversal from here. MCO - Remains in bull flag pattern - still bullish. Mid Cap Watch List: INFN - Drifting lower and closing in on its rising 20 day EMA. We'd expect a bounce from this level. KLIC - Failed to hold recent breakout and it does have a long-term negative divergence in play. A close below the rising 20 day EMA could lead to a short-term test of the rising 50 day SMA to reset the MACD. This could also serve as a test of gap support. Our second entry resides at that 15.10 level just in case we do see selling. 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!