EB Watch List Update Report

Dear Members: First, please note that I have posted a new Behavior Modification Case Study that you can find under my blog on the site. MARKET NOTE So, what's changed between today and yesterday for the market to be gaining back the points lost yesterday? Perhaps the end of one month and the beginning of a new month? Maybe a shift in trader confidence with the VIX down almost 8%? Maybe oil trying to stabilize? It's hard to pinpoint exactly but right now the S&P is challenging yesterday's high and is back above its 50 day moving average, something that must please the bulls. In fact the NASDAQ is trying to clear its 50 day as well. It has been the one index lagging the Dow and S&P so that could change today. This move higher is coming at a time of year that is historically positive. And now instead of the bulls being the ones who have been frustrated for a lot of the year, the bears are getting a taste of their own medicine, and have been ever since the S&P bottomed at 1810 in early February. But in truth neither the bulls nor the bears have gained the upper hand for a long time. Just go back to August 26 of last year, one day after the S&P bottomed as a result of the flash crash. The S&P closed at 1940 that day. It closed at 1932 yesterday. So a whole lot of churning and going nowhere fast. But there is no arguing that stock prices are a lot higher today than they were when the S&P hit that 1810 level on February 11. Now the question is, are traders willing to remain long here, with the next target in the 1980-1985 range? That's just one more day like today, so it's certainly attainable. And it would give the bulls some cushion above the 50 day. On the other hand, if traders feel the move higher today is not sustainable, we could see profit taking later in the day and simply remain stuck in a range. So for now it comes down to how the market closes today at 4:00 pm eastern. KEY EARNINGS REPORTS Companies reporting earnings today (March 1) AZO, BNS.TO, BARCL, DKS, DLTR, DCI, MDT, PGR and ROST Companies reporting earnings tomorrow (March 2) include: ANF, AEO, COST and SINA ADDITIONS TO WATCH LISTS: No new additions today BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Large Cap Watch List SHORTS: HBI -Stock hit our second short entry price at $29. It's currently trading back above its 50 day moving average so could continue to move higher if the market remains strong. However a close back below $28.47 could show the stock is losing steam. We have a stop of a close above $29.50 in case it continues moving higher. ROP - Stock is higher today as it tries to hold above its 20 day moving average. A close below yesterday's low of $167.93 could take this stock lower. Mid Cap Watch List There are no Mid Cap stocks on the Watch List at this time. Small Cap Watch List There are no Small Cap stocks on the Watch List at this time. 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. John Hopkins, EarningsBeats