Chart of the Day: A Bullpen Name Quietly Builds Momentum
This stock has been leading the homebuilder group.
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Earlier this year the homebuilders took a huge tumble as rates started to climb, and then the oil prices surged and suddenly an inflation scare was getting real. Of course, higher rates are anathema to homebuilders, but the tension from the Iran War seems to have come down a few notches.
Rates have trickled lower and suddenly the homebuilders are looking more attractive. D.R. Horton (DHI) , in the Pro Portfolio Bullpen, is one of the bigger names in the group and probably bottomed before the rest of the big homebuilders like Pulte Homes (PHM) , Lennar (LEN) and Toll (TOL) .
We have been watching this DHI closely and now with some higher-highs, higher-lows in the chart it may be time to consider adding it to the Portfolio (soon). Money flow, at the bottom of the chart, is impressive and just crossed the zero line.
The price action, meanwhile, is constructive as well, and the candles at the top of the chart, are now teal, which means cautiously bullish. Volume trends have turned bullish, too, so the seeds are planted.
Related: Chart of the Day: Credo Gets the Call One More Time
At the time of publication, the Pro Portfolio had no positions in any securities mentioned.
