EB Watch List Update Report

Dear Members: MARKET NOTE The moment of truth has arrived. After lots of pounding up against the 2000 level on the S&P the bulls have managed to make some progress. And now the S&P is within 3 points of its 200 day moving average, a level not cleared all year long. So for those who have waited for an opportunity to short the market, this is it. This doesn't mean the bulls won't maintain control. In fact, the VIX is down 7% today as fear has subsided. So will stocks stall now or if the S&P touches 2019? We might find out soon enough! If the bulls succeed in keeping the momentum then the next key level of resistance will be just below 2040, so another 20+ points. If gains fail to hold and we see profit taking, and especially if the S&P closes back below 2000, then 1963, the 20 day moving average, could come into play. So we at least now have a decent reward to risk that favors the bears. All of this coming just a few days ahead of the Fed rate announcement next Wednesday which could impact the direction of the market. For sure this is a place to consider taking profits and perhaps "wait and see." But purely from a technical perspective, we are at a major crossroads. And you will see below that we are adding a short trading candidate to our Watch List because we like the reward to risk at the moment. KEY EARNINGS REPORTS Companies reporting earnings today (March 11) include: There are no key earnings reports due out today Companies reporting earnings Monday (March 14) include: LEN ADDITIONS TO WATCH LISTS: We are adding a short candidate to our Watch List: Mondelez International, Inc. (MDLZ) with an initial entry price of $42.15 (as of this email) with a stop of a close above $43.10 and a target of $39.50. All key information will be posted on the site prior to Monday's open. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: Large Cap Watch List SHORTS: ROP - Stock is higher today but struggling to clear its 200 day moving average. A close below $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. I want to wish everyone a restful weekend and will be back Monday morning with my EB Watch List Update report. John Hopkins, EarningsBeats