EB Watch List Update Report

MARKET NOTE: Dear Members: In case you're keeping track, the market has stalled over the past week. The S&P closed at 2184 last Friday and right now is near 2182. On the one hand, you might say the consolidation isn't bad, that the bulls are gearing up for the next move higher. On the other hand, you might say that the market is priced for perfection with all of the major indexes hitting all time highs recently. For sure the market seems to be waiting for a new catalyst to guide it either higher or lower. Let's keep things in perspective here. The NASDAQ has climbed almost 15% since it bottomed in late June; it can't keep rising at that pace without some type of pause. Earnings season is pretty much over; there's no Fed meeting until September though they will be gathering at Jackson Hole next week with traders on high alert in case they say something that might impact the market. At the same time, investors across the world are searching for yield that they can't get at the bank or in government bonds. So almost by default, stocks are currently the asset of choice. Earlier in the week the S&P held its 20 day moving average on selling and so far it has done it again today. In other words, lots of buying on the dips. The question is, when will traders feel they need lower prices to get involved? Right now we've got a range on the S&P of 2193 to the upside and 2173 to the downside. We remain smack in the middle. This continues to make it tricky to get aggressively long or short here; we need to see if one gives as that could tell us where the market is headed in the near term. KEY EARNINGS REPORTS Companies reporting earnings today (August 19) include: AMLP, DE, FL and MSG Companies reporting earnings Monday (August 22) include: There are no key earnings reports due out today. ADDITIONS TO WATCH LISTS: PLEASE NOTE: We are removing some and adding a group of new stocks to the Candidate Tracker later today and will advise members once they are on the site. This new batch of stocks represents companies that recently beat earnings expectations and could be poised for a move higher. Sometimes it makes sense to see how they perform a week or so after earnings as they could be solid reward to risk trading candidates. What we don't want to do is chase those that gap up on earnings as they almost always pullback some after the excitement wanes. 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 down 1% as it continues to consolidate. Going to give it another day or two to see if it makes a move higher and if not may remove from the Watch List. CIEN - Stock bounced nicely from its low yesterday. Still would like to see it close back above $21.88 which would be bullish. DELETIONS FROM OUR WATCH LISTS: None at this time. 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