Tracking Stock Price Reactions to Earnings

Tickers in this article: AMZN CAT CRUS DHI JBHT MMM MSFT PFE RHL T UNP
NEW YORK ( TheStreet) -- Today I review the price action for the stocks I profiled pre-earnings, those who reported their results between Jan. 24 and Tuesday. The winners have been outrunning the losers despite overvalued fundamentals and as weekly charts for the major averages become overbought.

I profiled the first six stocks covered today on Jan. 22 in Apple, McDonald's Headline Earnings Wednesday.

On Monday, I wrote, Will Homebuilders Q4 Support Additional Share Price Strength?, and earnings from two homebuilders and another bellwether profiled in this post are in the books.

On Tuesday, I wrote, Jungle of Earnings Includes Amazon, and earnings from two of the stocks profiled in this post were released after Tuesday's close including Amazon.com (AMZN) .

Amazon ($260.35) missed EPS estimates by 9 cents per share earning 21 cents per share. The online retailer also missed on the revenue line, but reported improved margins and the stock spiked to an after-hours high at $288.00, which would be a new all-time high if matched in today's trading. Amazon had set an all-time high at $284.72 Friday, and traded as low as $258.35 before releasing results after the close. AMZN still has a hold rating and is 26.5% overvalued with my quarterly value level at $255.75, a weekly pivot at $275.00 and semiannual risky level at $305.64.

This morning www.ValuEngine.com shows that 63.4% of all stocks are overvalued getting even closer to our 65% warning threshold. All 16 sectors remain overvalued with nine overvalued by double-digit percentages; consumer staples by 28.5%, transportation by 25.2%, construction by 24.9%, industrial products by 21.5%, finance by 16.8%, retail-wholesale by 16.5%, medical by 16.5%, computer and technology by 15.5% and business services by 10.8%.

Technically, the Dow Industrial Average has an extremely overbought daily chart, a weekly chart that is nearly overbought, and a monthly chart that is overbought. The Dow is knocking on the door of 14k solid gold with the October 2007 all-time high is 14,198.10 and the all-time closing high at 14,164.53 set on Oct. 9, 2007.

Here's My Earnings Scorecard:

3M (MMM) ($101.81) reported in-line EPS at $1.41 per share but reported improving product sales. The stock has been upgraded to buy from hold and traded to a new multi-year high at $101.87 on Tuesday. My monthly value level is $91.64 with a weekly pivot at $100.21 and semiannual risky level at $111.34.

Union Pacific (UNP) ($134.76) beat EPS estimates by three cent at $2.19 per share. UNP set a new multi-year high at $136.19 on Jan. 23. The stock still has a strong buy rating with my monthly value level at $129.94 with a weekly pivot at $135.29 and semiannual risky level at $143.14.