EB Watch List Update Report

Dear Members: MARKET NOTE: Dear Members: We've got day two of a nice bounce off of the recent lows with all of the major indexes higher. Interestingly, we've gone from despair to feeling good in the space of 48 hours with the VIX down another 9% today and 36% below the most recent high of 26.64. At the same time the equity only put call ratio has gone from 1.01 on Monday to .59 yesterday showing quite a swing in confidence from extremely negative to very confident. All of this is going on as we get near month end and with the S&P within 5 points of its 20 day moving average near 2070. So the bulls are feeling good that the S&P moved back above its 200 day and now hope to eclipse the 20 day. For sure the market got oversold but the bounce to me seems a bit much. But there's no use trying to argue if the move off the bottom is justified or not; it is what it is and so far a decent chunk of the losses have been been regained. I still think the bulls will have a very difficult time negotiating the 20 day so quickly and if anything it would not surprise me to see some profit taking soon. So figure another 5 points to the upside with the potential of 70 to the downside if we revisit Monday's low of 1991 on the S&P. This tells me the reward to risk is squarely to the downside. That could change if we clear that 2070 level so it is an important level to watch. KEY EARNINGS REPORTS Companies reporting earnings today (June 29) include: AYI, GIS, MON and UNF Companies reporting earnings tomorrow (June 30) include: CAG, STZ, DRI, MKC, MU and PAYX ADDITIONS TO WATCH LISTS: We will hold off on any new alerts at this time. If anything would consider shorting the closer we get to the 20 day moving average on the S&P. 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 QRVO - This stock is being removed from our Watch List as we issued a profit alert earlier today. GREAT TRADE! Small Cap Watch List Tasr - This stock hit our target of $24.05 this morning so is being removed from our Watch List. GREAT TRADE! DELETIONS FROM OUR WATCH LISTS: We are removing QRVO and TASR from our Watch List. There are no other 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