NEW YORK ( TheStreet) -- Homebuilding remains an important component of an economic recovery. Before Tuesday's strong rebound the 11 homebuilder stocks I have been tracking were down between 7.3% and 26.6% since May 28. Beazer Homes ( BZH) which was upgraded to hold and had a one-month gain with a six-month loss. Ryland Group ( RYL) was down for the month.On Tuesday, ValuEngine upgraded four names to hold from buy and one from strong sell to sell. Homebuilders rebounded on a stronger than expected reading for building permits in September and October and on higher prices that were reported in the S&P/Case-Shiller Home Price indices. Following Tuesday's rally the six month declines were cut to between 4.1% and 23.1%. Homebuilder Trading Opportunities Continue the biggest gainer has been Beazer Homes which was upgraded to hold and had a one-month gain of 12.5% with a six-month loss of 5%. Ryland Group as the worst performer since Oct. 30 with a decline of 5.8%. The S&P/Case Shiller Home Price Indices showed that the 20-City Composite rose by 0.7% in September and was up 13.3% year over year. With the 20-City Composite up 23.6% since the March 2012 lows I would continue to argue that the housing bubble is re-inflating.