I would suggest getting into SRS or adding to position before Jan 10th. While there will be some volatility in this thing for a while, the trend is up (today's price action confirms). A nice spark to send it on a long term run up is the DB Real Estate Outlook Conference on Jan 10th. Multiple REITs and other RE financial companies will be presenting - As this conference is for forward looking analysis, you can expect some bad news. Selling action on these issues will commence during the conference - folks not in SRS or other similar vehicles before then will only be able to eek marginal gains (chasing the price).
I agree, they will probably still tell everyone that everything is ok and that REIT's are oversold (which they actually are at the moment). I have owned SRS for over 6 months off and on, and whenever it breaks out like this, it has dropped substaintially, so this time I am long URE. I know that REIT's mid/long term are done for, but this selloff is over extended and there is way too much risk to SRS on the downside vs. upside potential. I only have a very small portion of my portfolio long REIT's (and probably only for a few days). In the next 2 weeks SRS might hit intraday 135-140, but on the downside it can go back to the low 100's. why take so much risk to make such a small percentage of profit? If your not long REIT's temporarily (and I agree it takes a strong stomach to go long during these selloffs), you should be at least 50-75% out of SRS so that you can buy it back at a cheaper price. Anyone checking out AMD? it is at a multi year low @ 6.10 and what about CNXT @ 0.66? That is very cheap for that stock also. JMHO, good luck to everyone which ever position you have.