EB Watch List Update Report

Dear Members: MARKET NOTE: A bit of a different tone in the market today with all of the major indexes higher. It helped that Asia and Europe were strong overnight. And it might have helped that the Fed pretty much doused the idea of raising rates this year when they released minutes from their last FOMC meeting yesterday, something that was lost during the NYSE crash and as stocks fell sharply into the close. Now, just because we're getting a nice bounce today it doesn't mean we are out of the woods. It does help that the S&P is back above its 200 day moving average, but the Dow isn't. And all of the major indexes remain below both their 20 and 50 day moving averages so the bears continue to rule technically which is not insignificant. In what be a minor but under the surface positive, Alcoa is higher today after releasing its earnings after the bell last night, even though it missed earnings expectations. It did beat revenues, so that's helping. And the stock has been in non-stop down mode for 5 months now. So it might give traders at least some hope that earnings season might not be as bad as everyone thinks. Bottom line today: we need further evidence that the worst of the selling is over before we move into aggressive mode. Step one would be a close back above 2055 on the S&P as remaining below the 200 day is a non-starter. The next big step would be a close back above 2100 as it would return the technical advantage to the bulls. Short of that the market remains vulnerable to additional selling and could also consolidate as traders await more earnings results which will start to come out in droves next week. ADDITIONS TO WATCH LISTS: There are no additions to the Watch List today. We've had a few stocks stop out the past few sessions and remain cautious here as the bulls have yet to prove the worst of the selling is over. If the stars line up for us, market conditions will improve as we head into the guts of earnings season, which could present some superb trading candidates. But we're not going to force things here as that could easily backfire. It's going to require some patience here. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List INTU - Volume has picked up recently on this uptrend and appears on track to test June highs near $107.50 MSFT - Up almost 2% today as it challenges its declining 20 day moving average at $45.19. A close above that level would be bullish. Mid Cap Watch List RBA - Down 2% today on very light volume on this move lower as it moves below the 50 day moving average at $28.27. A reversal and close back above that level, especially on increasing volume, would be bullish. Small Cap Watch List EBIX - Hit our second entry yesterday at $31.43 and has so far bounced 2.3% today TILE - Continues to consolidate at its 20 day moving average DELETIONS FROM OUR WATCH LISTS: There are no deletions from the Watch List today unless a Watch List stock hits its stop loss. At your service, John Hopkins, EarningsBeats