EB Watch List Update Report

MARKET NOTE: Dear Members: In my Friday market update I pointed out a number of things that weren't stacking up for the recent advance. This included the big increase in gold, the major reversal in the VIX and precipitously falling bond yields. In fact, the yield on the ten year treasury note has hit an all time low of 1.368%. This wouldn't be happening if all was good with the world; it's not. Instead, the Central Bankers are being forced to pull out all the stops including leaving rates at unbelievably low levels, or even moving to negative rates in some cases. Then we have oil which was left for dead Friday but is getting pounded today as it was revealed that the US oil stockpile continues to grow. Even with all of this going on, the S&P remains above all key technical levels. The same cannot be said for the NASDAQ which is back below all key technical levels. Remember that we will be getting the minutes from the most recent FOMC meeting tomorrow. That will be followed by the monthly non-farm payroll report on Friday. This has the VIX up over 10% today as volatility remains front and center. To me the key at the moment is watching to see if the S&P holds 2076. It's a key level as both the 20 and 50 day moving averages have converged at 2076. So if that goes you can expect more selling. The NASDAQ has its own hurdles to climb above and right now that is at 4817 - where its 20 and 200 day moving averages have converged - and then 4825, the 50 day moving average. You can use these levels to help guide your trading and in the meantime we'll continue to be extremely cautious here until we see something that tells us the selling is over. KEY EARNINGS REPORTS Companies reporting earnings today (July 5) include: There are no major companies reporting earnings today Companies reporting earnings tomorrow (July 6) include: There are no major companies reporting earnings tomorrow ADDITIONS TO WATCH LISTS: We will continue to hold off on any new alerts at this time. 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 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 or above the stop loss provided. At your service, John Hopkins, EarningsBeats