Supply Of New Homes Rising, Median Prices Remain Elevated And Mortgage Rates Firm Up

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The rise in supply of new homes is coming amidst relatively soft sales, inflated prices and now rising mortgage rates. Concurrently, builder sentiment is off its high but remains elevated, even as ITB is below potentially crucial $66. Sales of … Continued

Housing Strong; ITB, Having Rallied To New High This Month, Tests Major Resistance – Unsuccessfully Thus Far

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US housing is going gangbusters. Sales are very strong. Builder optimism is at a record. Starts have recovered strongly. Amidst all this, ITB, having risen to a new high this month, is running into massive resistance. Housing activity has picked … Continued

US Housing Data Improve; ITB Breaks Out, Possible Breakout Retest N/T Will Be Telling

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Over the past year, housing data – both survey- and activity-based – have gotten better.  Housing starts and sales of new and existing homes have strengthened since the December 2018/January 2019 lows.  ITB just broke out of two-year resistance.  Possible … Continued

After 39% Collapse Between Jan and Dec ’18, ITB Trying To Stabilize But In No-Man’s Land

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US home sales peaked in November 2017, homebuilder sentiment in December 2017, and housing starts in January 2018.  From its January 2018 intraday high through December low, ITB collapsed 39 percent.  It is trying to bottom, but currently in no-man’s … Continued

ITB Acts Tentative – Any Message For Builder Sentiment/Home Sales/Starts?

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ITB (iShares Dow Jones US home construction ETF) continues to search for direction.  As did lots of other ETFs/indices/individual stocks, it fell drastically late January-early February.  Unlike many others, however, recovery since has been tentative, to say the least. From … Continued

After Dropping 19% Over 9 Weeks, ITB Bulls Defend 200DMA – Too Soon To Call All-Clear

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After a 19-percent peak-to-trough drop, ITB defends crucial support Wednesday.  Is this part of a normal correction or something is amiss in housing? In the last several sessions, tons of stocks as well as equity ETF’s and indices were literally … Continued

XHB, ITB At/Near Fresh Highs – Tend To Track Builder Sentiment, Hence Worth Watching

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Homebuilder-focused ETF’s are at/near record highs.  Momentum is intact, but builder sentiment – also at multi-year highs – is worth watching. Homebuilding stocks are on fire. XHB (SPDR S&P homebuilders ETF) is already up 5.6 percent for the year.  Monday, … Continued

ITB Up 33% Post-Election, Bulls Defend Crucial Trend Line Support – Momentum Slowing

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ITB, the iShares U.S. home construction ETF, has posted seven straight positive months.  The rally began last November – post-election. Momentum is not broken, but is not in acceleration either.  May was essentially unchanged – up 0.25 percent – with … Continued

ITB Range-Bound Action Continues Amid Conflicting Housing Signals

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U.S. sales of existing homes increased 0.7 percent month-over-month in November to a seasonally adjusted annual rate of 5.61 million units.  This was the highest since 5.79 million in February 2007 (Chart 1).  Sales had been flat for over a … Continued