Sir John Templeton used to share….”Don’t worry about what you know, its already built into the price.” Is their anyone out there that isn’t aware of the challenges Real Estate faces today? Is all of the bad news built into the price?
This is a follow up story to Wednesday’s Quiz on dshort.com
The Homebuilder ETF (XHB) has fallen almost 30% after hitting stiff resistance in late April. This depressed, out- of -favor sector, currently finds itself facing a positive technical pattern.
If you take a long a long position, the stop would be a break of support. If support does give way and you want to score on defense, SRS, the inverse REIT ETF; should do well.