EB Watch List Update Report

MARKET NOTE: Dear Members: We've been laying very low lately and for a good reason. The market has gotten ahead of itself, particularly the NASDAQ, and needed some relief which we are seeing today. This selling comes one day after both the NASDAQ and S&P hit all time highs. The VIX is up by 4% on this selling; that's not much at all and the VIX remains below all key technical levels. So traders are taking some profits today but at the same time they are looking for fresh opportunities that will come along with the selling. In looking at the NASDAQ , the most overbought index of all, the most recent low was at 5186. On the S&P the first line of technical defense will be at the 20 day moving average, now at 2162. The bulls managed to hold the 20 day on last week's selling. Now the question is, can they do it again? We know the appetite for stocks has been strong lately so this selling might not last long. On the other hand it wouldn't be bad to see some more selling to make stocks even more attractive. We know what the targets are if the selling subsides; 2187 on the S&P and 5238 on the NASDAQ. So the range on the S&P for now is 2162 to the downside and 2187 to the upside. In the meantime it might be best to simply watch the market action into day's end in case the selling picks up. KEY EARNINGS REPORTS Companies reporting earnings today (August 10) include: ARMK, PRU.L, RL, SLW.TO and WEN Companies reporting earnings tomorrow (August 11) include: DDS, KSS, M, JWN and NVDA ADDITIONS TO WATCH LISTS: Will let members know via email if I spot any stocks on our Candidate Tracker that look like high reward to risk opportunities, taking into consideration the current market environment. 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 HAWK - Stock is very oversold as it continues lower. Please note that we have a stop loss of a close below $32.54. PLEASE NOTE: We are changing the stop to a close below $32.42. If the stock closes below that level it will be removed from the Watch List. DELETIONS FROM OUR WATCH LISTS: None at this time. At your service, John Hopkins, EarningsBeats