7:00 – MORNING MARKET UPDATE & WATCH LIST NOTE: Today’s watch list can be found here. Yesterday, the Dow Jones closed +1.3% higher on Monday, the index’s highest close since October. The S&P 500 added +1.2%and the Nasdaq gained +1.3%. QUOTE OF THE DAY: “If you want others to be happy, practice compassion. If you want to be happy, practice compassion.” – Dalai Lama This morning, U.S. stock futures are steady. European markets opened mostly higher, following a positive trading session in Asia. ______________________________________ 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 ____________________________________________________ Tesla is probably about to report the largest drop in auto sales in the company’s history. The Walgreens Boots Alliance (WBA) will release its earnings report before the open. I ran my routine stock screens this morning, yet did not add any more stocks to our watch lists. We had 2 breakouts yesterday by default in HEI and CSGP. There are a total of 19 stocks on our watch lists. – see here. 1 – Helco Corp. (HELCO – NYSE) Chart services courtesy of stockcharts.com. Annotations by James Taulman.Questions? – Click here. 2 – CoStart Group, Inc. (CSGP – Nasdaq) Chart services courtesy of stockcharts.com. Annotations by James Taulman.Questions? – Click here. Now you can 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.