June 21, 2012
According to George Leong, contributor to Profit Confidential, while home prices continue to slide across the nation, there have been improvements in the homebuilder sector.
In the article “Homebuilder Stocks Show Improvement, But Stay Selective,” Leong notes that builders are seeing higher demand down the road in the housing market, which is positive.
“The key Building Permits reading, which shows how well the building pipeline is doing, is also improving,” says Leong.
Leong believes we are witnessing some stalling for the S&P Homebuilders Select Industry Index. “While the index has been trending higher, we need to monitor the break at the 50-day moving average,” says Leong.
Should the employment problem and the eurozone crisis escalate, Leong believes there could be additional moves down to the 200-day moving average.
“Distressed prices in the housing market remain problematic,” says Leong
“One thing’s for sure; the homebuilder market has bottomed out,” concludes Leong. He believes the influx of foreign buyers to the U.S. housing market from Brazil and Canada buying real estate in Florida and other depressed regions will help stabilize prices.
Profit Confidential, which has been published for over a decade now, has been widely recognized as predicting five major economic events over the past 10 years. In 2002, Profit Confidential started advising its readers to buy gold-related investments when gold traded under $300 an ounce. In 2006, it “begged” its readers to get out of the housing market... before it plunged.
Profit Confidential was among the first (back in late 2006) to predict that the U.S. economy would be in a recession by late 2007. The daily e-letter correctly predicted the crash in the stock market of 2008 and early 2009. And Profit Confidential turned bullish on stocks in March of 2009 and rode the bear market rally from a Dow Jones Industrial Average of 6,440 on March 9, 2009, to 12,876 on May 2, 2011, a gain of 99%.
To see the full article and to learn more about Profit Confidential, visit http://www.profitconfidential.com.
Profit Confidential is Lombardi Publishing Corporation’s free daily investment e-letter. Written by financial gurus with over 100 years of combined investing experience, Profit Confidential analyzes and comments on the actions of the stock market, precious metals, interest rates, real estate, and the economy. Lombardi Publishing Corporation, founded in 1986, now with over one million customers in 141 countries, is one of the largest consumer information publishers in the world. For more on Lombardi, and to get the popular Profit Confidential e-letter sent to you daily, visit http://www.profitconfidential.com.
Michael Lombardi, MBA, the lead Profit Confidential editorial contributor, has just released his most recent update of Critical Warning Number Six, a breakthrough video with Lombardi’s current predictions for the U.S. economy, stock market, U.S. dollar, euro, interest rates and inflation. To see the video, visit http://www.profitconfidential.com/critical-warning-number-six.
For the original version on PRWeb visit: http://www.prweb.com/releases/prweb2012/6/prweb9622288.htm