EB Watch List Update Report

MARKET NOTE: Dear Members: Yesterday's move higher came as traders had gotten overly pessimistic. This could be seen clearly in the equity only put/call ratio that almost touched 1.0 on Friday; everyone was betting against the market. That shifted yesterday as the put/call ratio fell to .63, quite a big swing, and today traders are back to being skeptical. The Dow is under pressure today as Goldman Sachs is down significantly on weaker than expected earnings. Bank of America is lower as well in spite of an earnings beats. It's tough for the market to make any progress when the banks are lagging.The VIX continues to favor the bears though it has pulled back from the most recent highs. Makes sense considering all of the major indexes remain below key technical levels; traders are reluctant to buy on the dips these days. It's going to take some work for the bulls to regain the momentum; the technical picture isn't really showing any sign of improving. Of course that could all change if we start seeing a bunch of strong earnings over the next few weeks; nothing is more important than the bottom line. But traders are saying "show me the money." Until then I expect the market to struggle. The most recent low on the S&P was 2328 so that is now support. To the upside the bulls know they need to clear the 50 day moving average on the S&P, now at 2354, to have any shot at taking the market higher. In the meantime we'll take it slow here, see what develops today, and revisit in the morning. KEY EARNINGS REPORTS Companies reporting earnings today (April 18) include: BAC, SCHW, CMA, GS, HBHC, HOG, IBM, ISRG, JNJ, KMI, LRCX, LVS, NAVI, PGR, SNV, UNH, GWW and YHOO Companies reporting earnings tomorrow (April 19) include: ABT, AXP, BXS, BLK, BDN, CSX, CP.TO, CLB, CCK, GPC, KALU, LHO, MS, NVR, QCOM, SLM, STLD, AMTD, TXT, USB, URI and EBAY ADDITIONS TO WATCH LISTS: Please note that as earnings season progresses we will be updating the Candidate Tracker and will keep you posted on additions and deletions. Once again; I will be more inclined to consider issuing trade alerts if the technical picture improves. BRIEF COMMENTS ON SELECT WATCH LIST STOCKS: SHORTS: None at this time LONGS: Large Cap Watch List None at this time Mid Cap Watch List None at this time Small Cap Watch List EXAS - Stock remains strong relative to the overall market. A move above $24.42 would be bullish with our target remaining at $25. DELETIONS FROM OUR WATCH LISTS: None at this time At your service, John Hopkins EarningsBeat