EB Watch List Update Report

Dear Members: First, please note that I have added another Behavior Modification Case Study to my blog which you can find under the Members section of the site. MARKET NOTE: The market started out weak today and now has recovered with the major indexes near break even. At this point China's devaluation of their currency is no longer a surprise with traders looking for other reasons to be long or short stocks. We saw a nice reversal in the S&P yesterday after it had fallen well below its 200 day moving average. The pecking order remains the same with the Dow the weakest and the NASDAQ the strongest of the indexes. It doesn't mean any of the major indexes are healthy as they all remain technically challenged. That move by China affected stocks, bond yields, the US dollar and commodities in general. Since then the market has been trying to determine the longer term impact and thus the recent volatility. The VIX has settled down after spiking yesterday and remains on the low end of the fear spectrum. So still no wide spread panic in the market, more of a knee jerk reaction to unexpected news, with the S&P still at the same levels it was the end of last year. We'll want to see where the market stands by day's end. If the bulls can close the S&P back above 2095 they would regain the technical advantage. Short of that the market remains vulnerable to additional selling. KEY EARNINGS REPORTS Companies reporting earnings today (August 13) include: AMAT, COTY, KSS and JWN Companies reporting earnings tomorrow (August 14) include: JCP ADDITIONS TO WATCH LISTS: Just a reminder that we added NuVasive (NUVA) to our Mid Cap Watch List yesterday with a first entry at the price of $52.42. The chart and all important details on the stock can be found under the Watch List section of 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 C - Stock recovered nicely yesterday after pulling back sharply and hitting our second entry at $56.46. So it held important gap support and a close back above the 50 day moving average, now at $56.96, would be bullish. LEN - Stock is up almost 1% today and is now back above all key technical levels which is bullish. STJ - Stock is trying to find its footing. Gap support from $68.85 (bottom of gap) to $69.88 (top of gap)continues to be the support zone that STJ needs to hold technically. Mid Cap Watch List NUVA - Our latest addition which held its 20 day moving average after falling below yesterday. A close above $53.51 would be bullish. Small Cap Watch List KFY - Stock is up over 1% today and a close above its 50 day moving average, now at $34.24, would be bullish. RUBI - Stock hit our second entry level yesterday at $15.40. A reversing candle would be bullish at this level on the chart. DELETIONS FROM OUR WATCH LISTS: There are no deletions from the Watch List today unless a Watch List stock closes below the stop loss provided. At your service, John Hopkins, EarningsBeats