EB Watch List Update Report

Dear Members, KEY EARNINGS REPORTS: Wednesday: COST, JOY, MW, SIGM, VRA Thursday: ADBE, CIEN, HOV, LULU These are just a few of the companies reporting today and tomorrow. Please check earnings dates for any stocks you own. ADDITIONS TO WATCH LISTS: There are two additions to the Watch Lists today as follow: MID CAPS: ASNA, $3.21 billion market cap, with Initial Entry at the current price (20.37) and Second Entry at 19.50. TTEK, $1.76 billion market cap, with Initial Entry at the current price (27.40) and Second Entry at 26.40. I'll have annotated charts on both of these stocks later this evening for your review, providing both targets and stops. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: NOTE: The market is seeing a lot of profit taking across the board today with many more stocks down than up. Below I am only focusing on those stocks with significant technical concerns. Large Cap Watch List: BCR - Having its roughest day since the uptrend in October began. Look for potential reversal at either the rising 50 day SMA or in its gap support zone from 127-130. FSLR - Currently violating our closing stop of 55.00, so it will be removed if it closes beneath that level. However, if you bought this stock closer to the latter entry points, you could hold with the anticipation that FSLR will reverse somewhere within its gap support zone from 50-55. HAR - Failed to hold its breakout level at 81.82 and is now testing its rising 20 day EMA. HAR hasn't stayed below its 20 day EMA for very long since April so a close beneath could lead to our other entry points being triggered. NKE - Negative divergence finally kicking in as NKE has fallen quickly below its 20 day EMA. I wouldn't be surprised to see NKE quickly back to the 75.00 price support level, a decent entry point. NSC - Testing its breakout level from just last week near 88.00. PRGO - Negative divergence here plus loss of its 20 day EMA suggests our Initial Re-Entry Price of 144.00 might not be far off. Note the rising 50 day SMA is close to that level as well. ROC - The 72.00 support level did not hold. Now I'm watching the rising 20 day EMA at 69.88 and the recent gap support just above 70.00. SPLK - Top of gap support not holding as SPLK falls further and approaches our Second Entry at 65.00 price support. VMC - Will honor our Closing Stop of 53.50 if it's violated. WSM - Triggered our Second Entry at the rising 20 day EMA (57.50). Mid Cap Watch List: FOE - Change of strategy here. Long-term negative divergence in play, so we'd consider Initial Entry to be the rising 50 day SMA, currently at 12.07. FINL - Triggered our Initial Re-Entry at the 50 day SMA, or 25.08. AWAY - Down nearly 5% today. We're awaiting our Re-Entry at the rising 20 day EMA, currently at 36.99. LXK - Triggered our Second and Final Entry points at 34.90 and 34.00 and we'll now watch our Closing Stop level of 32.90. NTCT - Attempting to rebound at price support near 28.00 after failing to hold onto support at the rising 20 day EMA. NUVA - Lost 20 day EMA support and quickly heading towards our Second Entry at 30.25. Small Cap Watch List: ELY - Close to triggering our Final Entry at 7.55. Our closing stop is 7.25. LIOX - Lost its 20 day EMA support and appears headed to test the 5.05 level, our Initial Re-Entry point. MMSI - Has broken beneath recent price support. Our Final Entry is at 14.40. The only support between the current price and that level is the rising 50 day SMA, currently at 15.10. RLD - Triggered our Second Entry at 8.20 yesterday and has bounced nicely thus far. It's also testing its rising 20 day EMA. SIGM - WE WILL REMOVE FROM OUR WATCH LIST AS EARNINGS WILL BE REPORTED TOMORROW. TASR - Is 2% off its earlier intraday high and still hovering close to its 20 day EMA. DELETIONS FROM OUR WATCH LISTS: There are no deletions UNLESS we see closing stop violations on the weakness today. If closing stops are violated, light volume accompanying such breakdowns could be reason to hold and see if those stocks rebound. But doing so obviously increases your risk. Happy trading! Tom Bowley Chief Equity Strategist EarningsBeats.com