EB Watch List Update Report

MARKET NOTE: Dear Members: In my update yesterday I pegged 2151 as support on the S&P if selling picked up. The low so far today? 2151.44. This makes sense as 2151 represents the 20 day moving average and it's a logical place for the bulls to try to defend. So far the bounce from the 20 day has been fairly light. That could change later but at this point its more about whether or not traders think the selling we saw earlier is enough for now or could there be more to go? When the market is in a bullish mood like it has been since the June 27 bottom, traders like to buy on the dips. On the other hand, if traders sense that we've seen a near term top, the selling could go deeper, which I think is what is going to happen. In looking at the NASDAQ, it had gotten so extended that a pullback was almost inevitable. In fact, the NASDAQ hit 5199 yesterday just before profit taking kicked in. It is possible that the selling today will be a "one and done" event but that would be unusual. But it doesn't mean the bulls won't put up a fight; they've been in charge for a while now. In looking at the NASDAQ it looks like the next level of support will be around 5084. If that goes then we could see an initial test of its 20 day, now at 5059. That seems like a reasonable possibility to me considering how much the NASDAQ has run since that July 27 low. The next level of support on the S&P is 2131; that's only another 20+ points. Should the bulls successfully hold here then 2178 will be there next target as that represents the most recent all time high. For now I want to see how the market closes later today as that will give us some fresh clues. In the meantime I think the smartest route at the moment is to err on the side of caution. KEY EARNINGS REPORTS Companies reporting earnings today (August 2) include: AET, Y, AIG, ADM, CAR, AVP, CZR, CAH, CERN, CHH, CMI, CVS, DVN, DISCA, DWA, KODK, ETN, EA, FMCC, FISV, FIT, HRS, H, MLM, MOS, NBR, PFE, PBI, PG, QRVO, RCL and STX Companies reporting earnings tomorrow(August 3) include: ALL, CABO, CLX, CON.DE, DLPH, D, DYN, FSLR, GDDY, HLF, HUM, ICE, JCOM, LNC, MRO, MET, OXY, PGR, PRU, RRD, GLE.PA, SUN, TSLA, TWX, RIG and WU ADDITIONS TO WATCH LISTS: We'll continue to hold off on any new alerts for now 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: At your service, John Hopkins, EarningsBeats