EB Watch List Update Report

Dear Members: MARKET NOTE: There was a lot of early pressure on the NASDAQ this morning primarily due to weakness in the Biotech sector with a large market cap company, Valeant, free falling after reports of misdeeds. At one point the stock was down close to 40%, affecting the Biotech ETF, IBB, which trades on the NASDAQ. Since the early action the stock has settled down some with the NASDAQ off of its sessions low while the Dow and S&P are in positive territory. So a mixed picture this morning. The bulls are particularly interested in the NASDAQ since it made an attempt to clear its 200 day moving average yesterday for the first time since the August 24 flash crash. And it came with the 20 day moving average crossing back above the 50 day with the NASDAQ joining the Dow and S&P in showing some technical improvement. The good news for the bulls is all of the major indexes are managing to hold recent gains in spite of mixed earnings results. Now the S&P needs to clear yesterday's high of 2039 to have a shot at testing its 200 day moving average, now at 2060. KEY EARNINGS REPORTS We're now hearing from a wide variety of companies of all sizes and so far the market is holding up well. Companies reporting earnings today (October 21) include: AOS, ABT, AXP, AMP, BHI, BIIB, BA, CSL, CTXS, KO, EWBC, EBAY, EMC, EFX, FBHS, GM, GNTX, KMI, LVS, MAN, NLSN, OC, RJF, RHI, SNDK, SLG, STJ, TXN, TSCO and URI Companies reporting earnings tomorrow (October 22) include: MMM, ALGN, GOOGL, ALTR, AMZN, T, ATHN, COF, CAT, CYN, DHR, DOW, DPS, ETFC, LLY, FCX, HBAN, JNPR, LAZ, MXIM, MCD, MJN, MSFT, NDAQ, N, NUE, PH, DGX, RTN, SIRI, SKX, LUV, SWN, SWK, SYK, TROW, UA, UNP, UAL, VRSN and GRA ADDITIONS TO WATCH LISTS: We will be adding more stocks to our Candidate Tracker over the weekend and into next week as more companies report. Some of these will become trading candidates and be added to our Watch List as we take into consideration overall market conditions. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Large Cap Watch List There are no large cap stocks on the Watch List at this time Mid Cap Watch List There are no mid cap stocks on the Watch List at this time Small Cap Watch List VRA - Stock continues to hold up well and a close above $13.15 would be bullish. 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