EB Watch List Update Report

MARKET NOTE: Dear Members: The volatility of late has show that traders have become more nervous. After many months of the market heading straight up it now takes more courage to deploy capital on the long side. The VIX has settled down some today after rising sharply yesterday before closing back below its 200 day moving average. But it still remains above both its 20 and 50 day moving averages; traders aren't as confident as they were for the four months following the election. We've gotten used to traders buying on dips but now they are looking more at locking in profits on moves higher. What used to be key support levels have now become key resistance levels. Until this changes we need to respect the bears. It's not all doom and gloom here. After all, the NASDAQ matched its all time high yesterday before pulling back. And it remains above all key technical levels. But the Dow and S&P continue to lag; we do not have the overall market acting in unison. As usual we need to keep an eye on the S&P as that represents a broad representation of companies in the market. Right now its sitting exactly on its 20 day moving average. Let's call it neutral territory; the market could go either way here. This makes it very difficult to put additional capital to work with the reward to risk to the up and downside fairly even. We all do much better when there are opportunities that have much more upside than downside risk. We simply don't have that at the moment. The recent high on the S&P was 2374 so that is now resistance. To the downside 2343, the 50 day moving average on the S&P, is now key support. KEY EARNINGS REPORTS Companies reporting earnings today (April 4) include: AYI and HBC.to Companies reporting earnings tomorrow (April 5) include: BBBY, MON and RAD ADDITIONS TO WATCH LISTS: Going to hold off on any additional alerts unless see some strengthening in the market. Will keep you posted. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: None at this time LONGS: Large Cap Watch List SRCL - Stock is down slightly as it has pulled back below its 20 day moving average. It needs to get back above that level, now at $81.85, if the bulls hope to regain the technical advantage. XL - This stock closed below its 50 day moving average yesterday so is being removed from the Watch List. Mid Cap Watch List APO - Stock is up slightly as it continues to out perform the broader market. Our target remains $25.68. Small Cap Watch List None at this time DELETIONS FROM OUR WATCH LISTS: XL is being removed from the Watch List as it closed below its 50 day moving average At your service, John Hopkins EarningsBeats