HOV hit a low of 29.05 today with a 52-week high of 73.40. All of the other majors pounded as well. Homebuilder threads were rampant on the way up, so what are people's thoughts now? Leading indicator for US housing prices?
It would be interesting to do an overlay of that chart on a chart of US home prices for the same time period.
HB's set up for a 10% bounce. But that is probably it. Inventories will be high for another 12 months at least. A sustained up move probably won't happen for another year. Unless things get much worse, the stocks can't fall much more because they all all trading at near book values. Book value may be understated as most of land has appreciated. Fed will likely hike for last time next meeting. My best guess, which is just a guess is that home builders settle out about 7-10% above today's prices. I doubt home builders fall another 10%.