EB Watch List Update Report

Dear Members: MARKET NOTE: Yesterday was one of the first times we saw some technical damage in quite some time. It was one of the few times the S&P closed below its 20 day moving average in the past few months and the first time the NASDAQ touched its 50 day moving average since mid April. We also saw the VIX close above both its 20 and 50 day moving averages yesterday and though it is back below both this morning it's showing some nervousness with traders wondering if the market has indeed peaked in the near term.This morning we're seeing some shopping on the move lower with all of the major indexes higher. So far the NASDAQ has rebounded exactly to its 20 day which is a level the bulls know they need to recapture while the bears know if they hold the line here we could see a trend change.The S&P has also moved back above its 20 day moving average but it's early in the session. So today is a test for the bulls; can they continue to maintain the technical advantage or are we going to see a changing of the guard? For sure traders have shifted their strong preference for tech stocks to blue chip stocks; perhaps seeing it as a safer route in equities. So it is possible we'll have a bifurcated market for a while. But the market always does best when all of the major indexes are in lock-step which is not the case at the moment. To me the S&P closing below its 20 day yesterday was a sign that things could get dicey for a while. So I want to see what happens by day's end; will the S&P close above 2430 or will profit taking kick in by day's end? I think its a toss up here at best and that it makes the most sense to continue to wait and see what develops. KEY EARNINGS REPORTS Companies reporting earnings today (June 28) include: FUL, GIS, MON, PAYX, PIR and WOR Companies reporting earnings tomorrow (June 29 ) include: AYI, CAG, STZ, MKC, MU, NKE and RAD ADDITIONS TO WATCH LISTS: None at the moment 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 None at this time DELETIONS FROM THE WATCH LIST None at this time At your service, John Hopkins EarningsBeats