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Homebuilders DR Horton (DHI) , KBHome (KBH) , Lennar (LEN) , Pulte Group (PHM) and Toll Brothers (TOL)  are attempting to claw out of bear market territory -- two have. Investors who bought these stocks around their Jan. 20 or Feb. 11 lows should consider taking gains now.

The National Association of Home Builders' Housing Market Index for March, which covers newly built single-family homes, stayed at 58, still above the neutral reading of 50.00. The NAHB continues to believe that the market for single-family homes will make slow but steady rise in the months ahead, but continue to report a shortage of lots and labor. They cite solid job growth, low mortgage rates and improving mortgage availability.

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The graph above shows the NAHB Housing Market Index versus single-family starts. The HMI (in blue with its scale on the left of the graph) shows the steady reading of 58 in March. Single-family starts (in red with its scale on the right of the graph) shows the data for January, as this graph is produced each month before the release of the latest reading on housing starts.

Nationwide housing starts for February rose 5.2% to a seasonally adjusted annual rate of 1.178 million units. Single-family starts rose to 822,000 units, up from 731,000 units in January. Single-Family Starts remain at about 60% of potential.

Here's a scorecard for the five major homebuilders.

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Here's the daily chart for D R Horton.


Courtesy of MetaStock Xenith

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D R Horton is at $29.86 after a close of $29.87 on Wednesday, down 6.7% year to date and 9.8% below its 52-week high of $33.10 set on Dec. 2. The stock is up 30% from its 2016 low of $22.97 set on Feb. 9.

The daily chart shows the Fibonacci retracements from the Dec. 2 high to the Feb. 9 low. The rebound from the low has the stock above its 61.8% retracement of $29.23, and above its 200-day simple moving average of $29.11. The stock is still well below the price gap to the low of Dec. 31 of $32.02.

Investors looking to buy the stock had the opportunity to do so as the stock was testing its 2016 low as that low was a test of the 200-week simple moving average of $23.31 at the low of $22.97. Today the key level to buy on weakness is $25.48, which should be a magnet for the remainder of 2016. Investors looking to reduce holdings should consider selling strength to $31.30, which is a key level on technical charts until the end of March.

Here's the daily chart for KB Home.


Courtesy of MetaStock Xenith

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KB Home is at $13.34 after closing at $13.41 Wednesday, up 8.8% year to date. It is in bear market territory 23% below its 52-week high of $17.42 set on June 25. The stock is up a huge 48.3% from its 2016 low of $9.04 set on Jan. 20.

The daily chart shows the Fibonacci retracements from the June 25 high to the Jan. 20 low. The rebound from the low has the stock above its 50% retracement of $13.23, but below its 200-day simple moving average of $13.70. The March 7 high of $13.74 is the year-to-date high but was a failed test of the 200-day simple moving average.

Investors looking to buy the stock should consider doing so on weakness to $12.30, which is a key level on technical charts until the end of March. Investors looking to reduce holdings should consider selling strength to $14.22, which is the 61.8% retracement.

Here's the daily chart for Lennar.


Courtesy of MetaStock Xenith

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Lennar is at $46.44 after a close of $46.47 on Wednesday, down 5% year to date. The stock is in correction territory 17.1% below its 52-week high of $56.04 set on Aug. 19. The stock is up 25.1% from its 2016 low of $37.14 set on Feb. 11.

The daily chart shows the Fibonacci retracements from the Aug. 19 high to the Feb. 11 low. The rebound from the low has the stock just below its 50% retracement of $46.60, but below its 200-day simple moving average of $48.38, and below the Dec. 31 price gap low of $48.89.

Investors looking to buy the stock should consider doing so on weakness to $44.49, which is a key level on technical charts until the end of 2016, as a magnet. Investors looking to reduce holdings should consider selling strength to $48.84, which is the 61.8% retracement.

Here's the daily chart for Pulte.


Courtesy of MetaStock Xenith

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Pulte, now at $18.19, closed at $18.21 on Wednesday, up 2.2% year to date but in bear market territory 22% below its Feb. 24, 2015 high of $23.36. The stock is up 24.6% from its 2016 low of $14.61 set on Jan. 20.

The daily chart shows the Fibonacci Retracements from the Feb. 2015 high to the Jan. 20 low. The rebound from the low has the stock between its 38.2% retracement of $17.95 and its 200-day simple moving average of $18.83. The 2016 high is $18.51 set on March 14.

Investors looking to buy the stock should consider doing so on weakness to $16.97, which is a key level on technical charts until the end of March. Investors looking to reduce holdings should consider selling strength to $20.02, which is the 61.8% retracement. The $18.44 level is a key level on technical charts until the end of 2016, as a magnet.

Here's the daily chart for Toll Brothers.


Courtesy of MetaStock Xenith

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Toll Brothers is at $28.47 after closing Wednesday at $28.28, down 15.1% year to date and in bear market territory 33% below its Aug. 19 high of $42.19. The stock is up 19.1% from its 2016 low of $23.75 set on Feb. 11.

The daily chart shows the Fibonacci retracements from the Aug. high to the Feb. 11 low. The rebound from the low has the stock between its just above its 23.6% retracement of $28.07, versus the March 3 high of $28.98. The stock is way below its 200-day simple moving average of $34.52.

Investors looking to buy the stock should consider doing so on weakness to $25.30, which is a key level on technical charts until the end of next week. Investors looking to reduce holdings should consider selling strength to $33.26, which is a key level on technical charts until the end of March.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.