The StockTwits Charts Stream gets filled daily with thousands of stock charts created by the largest real-time trading community in the world. Below are a few notable ones for your perusal:
Real estate and the home construction stocks have been leaders of this bull market to the chagrin of the bearish majority who imagined housing would never recover. Very recently though, these stocks have been showing signs of weakness.
Whether the Homies fading here is simply part of a rotation into other industries or a more ominous portent for the broader market we have no idea. Nevertheless, they are weakening and here are a few charts by some of StockTwits’ best chartists showcasing the damage…
1. iShares Dow Jones US Real Estate ETF (IYR) – Since topping out on May 21, IYR has plunged 14% from $75 to $64. On StockTwits, @TraderRL23 notes that the ETF is in the early stages of rolling over. A clear break below $63.50 support confirms the descending triangle and may beget even more selling as stops get triggered.
2. KB Home (KBH) – Master technician, @traderstewie, posted this KBH chart and suddenly it looks like a serious dog breaking support at 17 and now nearing lows for the year. Oy, 15 is not unrealistic here…
3. PulteGroup (PHM) – Money manager, Joe Donohue, posted this PHM chart and, similar to KBH, it looks weak and getting weaker. Note on this one, the multiple moving averages turning down and the stock trading below all of them. That spells downtrend city.
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