About those homies, I have to agree that if the market rallies, I'd like to be long those fellows. They have had ample opportunities to break down. Take CTX which appeared to break a bearish wedge yesterday... was down a point today, then rallied to a very strong close. Not bearish.
Now, I was sent the following (which I haven't confirmed) about insider activity at these places...
KB Home (KBH:NYSE) has 0 buyers and 19 sellers, Lennar (LEN:NYSE) 0 buyers and 11 sellers, NVR (NVR:NYSE) 0 buyers and 16 sellers, Pulte Homes (PHM:NYSE) 0 buyers and 12 sellers and Ryland Group (RYL:NYSE) 0 buyers and
20 sellers.
... but I also know these officers are sitting on a boatload of options from much lower prices, and they'd be idiots NOT to cash in. And finally, bubble or not... these are not richly valued stocks here, and every one of them (this year) has (at least initially) popped up on very good earnings. BZH could easily break that triangle upwards, and shorts will power it higher. That's the long bet, anyway.
the freep |
