EB Watch List Update Report

Dear Members: MARKET NOTE: The market has been flipping between slightly higher and slightly lower this morning with the bulls not wanting to lose the momentum. We've gone from a sell on any moves higher to buying on the dips, making it difficult for the bears to cash in. This recent strength in the market has come in spite of the increased possibility that the Fed will raise interest rates at their June meeting. And the better than expected economic reports this morning only raised the possibility that the Fed will increase rates come June. Whether or not traders believe an increase will help the overall market the reality is the bulls continue to struggle to push the S&P back above 2100. This has been the case for a long time now with traders wondering if "this will be the time" it finally moves above and holds. But, that's a big IF, with many traders believing the buying of late cannot be sustained. There's certainly been a resurgence in tech stocks; the NASDAQ has been at the forefront of the move higher. But its battling 4900, a level it has not closed above in over a month. In fact, 4906 is now a key number. It should be noted that stochastics on both the NASDAQ and S&P are over 90. But the respective RSI's remain below overbought territory. Still, it won't take much for both of those indexes to become technically overbought. Bottom line: there's a strong bid under the market but the recent move higher has come quickly. 2100 remains resistance with 2065 as technical support. Until one of those goes we could be in consolidation mode, making it a bit trickier to make profitable trades. KEY EARNINGS REPORTS Companies reporting earnings today (May 26) include: ANF, BURL, CHS, DECK, DG, DLTR, GME, IGT, PANW, PDCO, RY.TO, SHLD, TARO and TECD Companies reporting earnings tomorrow (May 27) include: BIG ADDITIONS TO WATCH LISTS: We remain very close to key resistance near 2100 on the S&P. Let's continue to hold off doing anything else here and see if we get a tradeable pullback or if we clear that 2100 level. 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 over 1.5% today and needs to close above $30.60 if it hopes to make further gains. 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. At your service, John Hopkins, EarningsBeats