EB Watch List Update Report

MARKET NOTE: Dear Members: So, what have we got today? First, GDP came out much worse than expected, to the point where there's renewed discussion about the possibility of recession. Next, the Dow is down slightly but the S&P is higher and the NASDAQ continues its march higher as well. And the NASDAQ, which was technically stretched coming into today, is now showing stochastics near 98 and a RSI over 70; just more overbought. At the same time, the VIX is down by over 4%; complacency rules. This head down approach to the market is a head scratcher; the economy looks stuck at best, even retreating, but it is being ignored by traders. This gets us back to the theory that there's nowhere else to put money right now with yields on bonds so low. Plus, if central banks are going to keep rates lower for an extended period of time, maybe that will help stocks. Right now it looks like the bulls are going to try to take the NASDAQ to its year high of 5176, last seen in November of 2015, lousy economy notwithstanding. That's only a few points higher from here. Which begs the question; will traders care at some point that the market is overbought here? It certainly doesn't seem so, at least at this exact moment in time. But this doesn't mean its a good time to chase the market; it's not. Let's also remember; the market likes to pull the rug out from underneath everyone without any warning; are we setting up for some kind of major correction or will heads remain down for the foreseeable future? I'm still sticking with the odds that we're soon going to see a substantial pullback; just not sure when. KEY EARNINGS REPORTS Companies reporting earnings today (July 29) include: AC.TO, AN, CPN, CBOE, CVX, CI, XOM, FOR, MRK, NWL, PSX, SAVE, TEN, TYC, UPS and XRX Companies reporting earnings Monday(August 1) include: AEGN, AMKR, DO, DNB, GGP, SOHU, THC, GRA and WMB ADDITIONS TO WATCH LISTS: We're continuing to hold off issuing any alerts with the market so stretched 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 Mid 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: I want to wish everyone a restful weekend and I will be back Monday morning with my EB Watch List Update Report At your service, John Hopkins, EarningsBeats