EB Watch List Update Report

Dear Members: MARKET NOTE: Today is what I call a "moment of truth" day. Is the move higher recognition that the worst of the selling is over, or will traders grab profits on any hint that today is simply an oversold bounce? I raise the question as both the NASDAQ and S&P are right up against key technical resistance. And in the case of the S&P, the 20 day moving average has just dipped below the 50 day, never a healthy sign. So the bulls are going to be tested today to see if they can convince traders to keep up the buying, knowing that a failure to hold today's gains could spell trouble. The good news for the bulls is if they can hold the line here it would be with the market well aware that the Fed is in an interest rate raising mood. Right now, without a question, 2060 is a key level on the S&P and a close above that level must be considered bullish, at least in the near term. We're only a few points away, and thus my "moment of truth" reference. I need to point out that today is options expiration Friday, when all puts and calls are settled. And given the bout of selling of late, it makes sense to see today's bounce. But I'm not convinced we're out of the woods quite yet. So we might end up missing some more upside here but I'm OK with that. At least want to see what happens as the day progresses and if appropriate will let you know of any long/short alerts that we add to the Watch List. KEY EARNINGS REPORTS Companies reporting earnings today (May 20) include: CPB, DE and FL Companies reporting earnings Monday (May 23) include: There are no key earnings reports due out on Monday ADDITIONS TO WATCH LISTS: Please note that we are removing some stocks and adding some new ones to our Candidate Tracker later today and you will notified when complete. We added SKX to our Watch List yesterday and all information has been added to the site. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: There are no shorts on the Watch List at this time LONGS: Large Cap Watch List There are no Large Cap stocks on the Watch List at this time. Mid Cap Watch List SKX - Stock is up by over 2% today. A close above $30.08 would be bullish 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 or above 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. At your service, John Hopkins, EarningsBeats