EB Watch List Update Report

Dear Members: MARKET NOTE: The feel good market continues along its merry way with all of the major indexes hitting record highs. It fits in to the holiday season which is generally a bullish time for stocks. And traders are relaxed as well with the VIX showing fear is nowhere to be found. I do find it interesting that the market is cheering higher interest rates as well as a stronger US dollar, both which are usually cursed by the bulls. Also interesting. While the S&P has hit a new all time high its stalling right at an area that has never been seen before; 2200. Ditto on the DOW hitting 19,000 for the first time ever. But where is the major excitement? Of course the answer is the market has gotten way ahead of itself. It's true that this time of the year is very bullish for small cap stocks. But the Russell 2000 is so overbought now that the chances of it going substantially higher from here in the very near term without some relief are almost non-existent. This realization is bound to kick in some time soon and when it does there should be a softening in the Russell 2k as well as the NASDAQ where many of the small cap stocks reside. The overall bullish sentiment in the market continues to rise as well. The equity only put call ratio is back in the 50's; everyone is betting the market will go higher. And maybe it will. But the fact is it has already made a powerful move and being technically overbought is going to make it harder to make big moves withouth some profit taking kicking in. With all of the major indexes hitting record levels today at least it makes it easy to know where key resistance is. On the S&P it's 2203. To the downside I will be watching to see if 2160 holds on any pullback. The mood is cheery so we could see buying on any dips. And of course an overbought market can remain overbought. But for the moment I think it makes sense to "wait and see" and let some steam come out of the market. KEY EARNINGS REPORTS Companies reporting earnings today (November 22) include: BKS, CPB, CHS, DLTR, DSW, EV, GME, HPE, HRL, HPQ, TECD and URBN Companies reporting earnings tomorrow (November 23) include: DE ADDITIONS TO WATCH LISTS: Not likely to add anything at the moment. Will be waiting for better reward to risk opportunities. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: There are no shorts on the Watch List at this time LONGS: Large Cap Watch List None at this time Mid Cap Watch List None at this time Small Cap Watch List None at this time DELETIONS FROM OUR WATCH LISTS: None at this time At your service, John Hopkins EarningsBeats