AOL Money & Finance

Technical trade #5: SPDR S&P Homebuilders ETF (XHB)

More

spdr technical analysisThe SPDR S&P Homebuilders ETF (NYSE: XHB) bottomed in March and made a direct run to the 200-day moving average by the end of April.

In mid-July, it executed a gold cross, which indicated that its long-term trend was about to change. By early August, it had broken the high of July, establishing an uptrend.

Since then it has been trading within a bull channel, but recently broke the 50-day moving average (blue line) suggesting that XHB will head for the support line and 200-day moving average at around $12.50.

spdr homebuilders etf

For those who think that the economy is turning, the homebuilders may be a good long-term investment, since prior to the economic crisis XHB traded above $40 and should participate in a new recovery.

Next: Stock #6 Dollar Tree

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.

Symbol Lookup
IndexesChangePrice
DJIA-14.2810,318.16
NASDAQ-10.782,146.04
S&P 500-3.521,091.38

Last updated: November 22, 2009: 08:54 AM

BloggingStocks Exclusives

Hot Stocks

DailyFinance Headlines

Latest from BloggingBuyouts

TheFlyOnTheWall.com Headlines

    BioHealth Investor Headlines

    WalletPop Headlines

    My Portfolios

    Track your stocks here!

    Find out why more people track their portfolios on AOL Money & Finance then anywhere else.

    BloggingStocks Partners

    More from AOL Money & Finance

    WalletPop Headlines