– James F. Taulman, former Editor-in-Chief of the first independently licensed website to offer stock reports and services based on the CAN SLIM® investment system. 6:30 AM – MORNING MARKET UPDATE & WATCH LIST NOTE: Today’s watch list can be found here. Yesterday, investors reacted positively from upbeat results and forecasts from Morgan Stanley (MS), Goldman Sachs (GS), UnitedHealth (UNH) and Johnson & Johnson (JNJ). The Dow Jones and the S&P 500 closed up +2.2%, while the Nasdaq spiked +2.9%. The markets were also helped by calmer bond markets, following the spike in US Treasury yields last week. ____________________________________________________ Now You Can Start Receiving James’ –Technical SetUps WatchList Each Market Morning Early each market morning James diligently screens through hundreds of high EPS and RS ranked stocks that have solid fundamentals. He is looking for those select few which are setting up in sound technical bases and which looked poised to breakout that day. Each stock is listed with specific trading criteria such as a TRIGGER PRICE, TRIGGER VOLUME and MAX BUY PRICE. Normally $19.95 a month, now just $9 a month through James’ BuyingBreakOuts.com website. LEARN MORE ABOUT THIS SPECIAL 50% DISCOUNT OFFER HERE ____________________________________________________ Today, Winnebago (WGO) plans to release earnings before the open. Alcoa (AA) will follow after the close. Minutes from the latest Fed meeting will be published at 2 p.m. ET. In case you missed it, there is the special report I put together after the market pulled back last week – “High-Ranked Pullbacks to Support” (available to everyone). I ran my routine stock screens early this morning, yet did not find any new stocks to add to our watch list. We still have 8 stocks which we will be watching for the next buyable breakout – see here. One stock in particular is ROSTwhich just found support at its 50-day moving average during last week’s market pullback. This leading retailer is now -2.3% from its TRIGGER PRICE. Chart courtesy of stockcharts.com. Now get access all watch lists with updated trading criteria including – TRIGGER PRICE, TRIGGER VOLUME, and MAX BUY PRICE for every stock here. Missed any of these morning reports? You can find all previous reports here. Standard rules apply – any gains above the stock’s TRIGGER PRICE while the day’s volume is at least on pace to make the TRIGGER VOLUME would have any of these set ups confirming a BUY signal up to their MAX BUY PRICE by default. Keep in mind that when a stock breaks out – becomes potentially buyable – there are other factors to consider. Volume on the breakout. A stock that is breaking out through resistance, with an increase in volume of +50% above the stock’s average volume (50 DAV), is showing more conviction and more demand. This is not saying – all lower volume breakouts will fail. Actually, we’ve seen many continue higher. If you have found that you did buy a stock that showed lower daily volume or volume under 50%, going forward – simply treat it a regular trade. Earnings BreakOuts. Many stocks from our watch list will break out during earnings season. Earnings breakouts can be more rewarding, however, these trades carry much more risk then traditional (non-news) breakouts. One needs to also consider – the strength/weakness of the fundamental news that was just released along with the forward-looking guidance the company gave, investors response to the conference call, etc. For anyone who is not familiar with – buying earnings breakouts – I suggest that they sit through a few seasons to study, paper trade, and show some profits, before applying actual capital. As always, if anyone has any questions – please feel free to email me at james@jamestaulman.com as I would be glad to assist you.