XHB new 52 wk low

Discussion in 'Stocks' started by Red_Ink_inc, Jul 11, 2008.

  1. Much to no one's suprise after a nice 4 month rally, XHB is breaking down again. Personally I don't see housing turning around anytime soon and not before a few of the weaker siblings among the homebuilders go bankrupt.

    Beazer (BZH) home hit a new 52 wk low today of $3.71. Hovnanian (HOV) looks even worse as they have 120 million in cash and 2.4 billion in debt. If memory serves me correctly they operate in some of the areas worst hit by the sub prime debacle (note 'debacle' not crisis).

    <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1989982>
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  2. Classic value traps.