EB Watch List Update Report

Dear Members: MARKET NOTE: We've got a mixed picture with the Dow and S&P higher and the NASDAQ lower. The good news for the bulls is the S&P has climbed back above 2100 for the first time since early December. And even though the NASDAQ is in the red it did hit the highest level its seen since the end of last year. We've also got the Dow back above 18,000 so all in all a decent day for the bulls. Of course what matters most is if the S&P can close back above 2100; intra day moves just don't mean as much. And with the recent run of late, the Dow is now technically overbought and the S&P isn't far behind. So on the one hand, it's nice to see both the Dow and S&P back above important numbers but they could both struggle to go much higher since they are both stretched. One thing to consider is we are right smack in the middle of earnings season so if we get some decent reports that could help to take the market higher. But if we see a string of worse than expected results the market could easily stall here. Bottom line is we've had a nice run but the recent rally could stall without some impetus to take it higher. KEY EARNINGS REPORTS Companies reporting earnings today (April 19) include: CMA, DFS, GS, HOG, ILMN, INTC, ISRG, JNJ, KSU, LLTC, MTG, NAVI, NTRS, PM, SNV, AMTD, UNH, VMW and YHOO Companies reporting earnings tomorrow (April 20) include: ABT, AXP, BKU, CHKP, CTXS, KO, CLGX, CCK, DISH, EMC, FFIV, HBAN, KMI, KNX, LRCX, LVS, MAT, NEM, NLSN, QCOM, RJF, SLM, STJ, STLD, SYK, TXT, TSCO, TUP, USB, WERN and YUM ADDITIONS TO WATCH LISTS: We added RDC to our Watch List yesterday and it has made a sharp move higher today. Our target price is $17.50 but if the stock hits $17.15 it will be removed with a profit of 10%. We are holding off adding any additional stocks to the Watch List given the market is technically stretched. We might consider adding a short position or two if appropriate and will let members know. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: There are no shorts on the Watch List at this time LONGS: Large Cap Watch List AMAT - This stock is down slightly today and we will maintain our price target of 21.85. It is stretched technically so any move higher could be a good opportunity to lock in profits. In addition, please note that we are raising our stop to a close below $21.31. Mid Cap Watch List There are no Mid Cap stocks on the Watch List at this time. Small Cap Watch List AVD - This stock is higher by almost 3% today and our price target remains at $16.80. RDC - Stock is up 9% from yesterday's entry price and will be removed if it gets to $17.15. If it does get to this level and you decide to hold you should consider raising your stop to insure you lock in some profits. DELETIONS FROM OUR WATCH LISTS: There are no deletions from the Watch List today unless a Watch List stock closes below or above the stop loss provided. At your service, John Hopkins, EarningsBeats