EB Watch List Update Report

Dear Members: MARKET NOTE: First, I want to welcome all of you who joined our service after hearing my presentation during Chip Anderson's Saturday webinar. StockCharts.com has done an amazing job of putting on regular webinars throughout the week with Chip doing his on Saturday. Welcome aboard! Now let's talk about the market. Asia got SLAMMED overnight with the Shanghai down almost 8.5%. Shades of 2008/2009 in the US? As a result, Europe got hit hard as well and the US market got off to a rough start. But you know what? It could be worse. First, even though the VIX is up 10% today, it's still well below the recent trip to the 20 range. So if all we get is a 10% bump on the fear meter when the Shanghai is down 8.5%, I'll take it. Now, this doesn't mean we are out of the woods here; not at all. The Dow is still below its 200 day moving average and technically broken and the S&P tested (and so far held) its 200 day earlier in the session. But all things considered, the NASDAQ is holding up quite well, still above 5000 and well above its 200 day. In the meantime, treasury yields continue to fall. Remember when the ten year treasury note got close to 2.5% recently with everyone saying the Fed would raise rates soon? Not so fast with the yield now back below 2.25% as the market adjusts to the reality that the Fed is in no hurry to raise rates anytime soon. Bottom line? Like I said, it could be worse, and if the bulls can hold the 200 day on the S&P, in spite of Asia getting slammed, that wouldn't be so bad. KEY EARNINGS REPORTS Companies reporting earnings today (July 27) include: BIDU, HRS, NSC and WYNN Companies reporting earnings Monday (July 28) include: ALLY, APC, BWLD, CTXS, GLW, CMI, F, IR, MMC, MRK, NLSN, PFE, SIRI, TASR, TXT, TWTR, UPS, WAT and YELP BLOGS: JOHN's BLOG I've added another Behavior Modification Case Study to my blog which you can access on the site under the Member section. These case studies focus on scenarios that are common to many traders and what can be done to change negative behavior. Hope you find them useful! In addition, Tom Bowley has posted a new blog, exclusive to EarningsBeats.com members, that focuses on August historical performance. You can find Tom's blog on the site under the Member section as well. A MUST read! CANDIDATE TRACKER We will be adding quite a few new stocks to our Candidate Tracker this week as a result of the large number of companies that recently reported earnings. We will keep you posted. ADDITIONS TO WATCH LISTS: Citigroup has pulled back after their strong earnings report. We've been waiting for it to retreat to its 20 day moving average which it did this morning. We are ADDING Citigroup to our Watch List at the current price of $58.10 For those of you who are more conservative, you might want to be patient and see if it revisits the 20 day again, which is currently at $57.40. We will have detailed information, including second entry, stop loss and target prior to tomorrow's open and will post the annotated chart on our site. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Short Watch List: There are no Short Watch List stocks at this time. Large Cap Watch List COTY - Stock is nearing our second entry level at $26.27. If it reaches that level it will trigger the second entry. Mid Cap Watch List MW - Stock has hit our second entry level at $59.50 so has triggered our second entry. Small Cap Watch List TILE - Second entry on this stock is $23. If it reaches that level it will trigger the second entry. 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