ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
When Meritage Homes (MTH) lowered guidance on September 9, 2015, the nation’s seventh largest homebuilder blamed several factors: A delay in closing homes. This was the most concerning explanation because the company provided no further details on it. Increased labor costs. These costs impacted margins. The problem was particularly acute in MTH’s major markets of … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on November 19, 2014. Click here to read the entire piece.) {snip} An analyst asked this timely question during the November 11, 2014 earnings call for LGI Homes (LGIH). The quote comes from the Seeking Alpha transcript of that earnings call. Charles … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 17, 2015. Click here to read the entire piece.) After regional homebuilder LGI Homes (LGIH) produced stellar earnings results earlier this month, I had high hopes for Century Communities (CCS) as well. CCS’s results for its second quarter were good, … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 6, 2015. Click here to read the entire piece.) In previous pieces covering homebuilders and housing, I have noted that my favorite plays in the space remain the regional builders. Regionals tend to have lower valuations with execution and growth … Read more
It turned out that technicals were indeed all I needed to follow for trading Memorial Production Partners (MEMP). As I described in an earlier piece, I successfully navigated a trade in MEMP by closing out my position and locking out profits after a break of support at the 50-day moving average (DMA). It was purely … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on February 20, 2015. Click here to read the entire piece.) I extend a hat tip to the Sydney Morning Herald for alerting me to the incendiary comments made by Lourenco Goncalves, the Chairman and Chief Executive Officer of Cliffs Natural Resources … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on February 12, 2015. Click here to read the entire piece.) KB Home (KBH) has made good on its promise to focus more on short-term monetization. Since reporting disappointing earnings on January 13, 2015, KBH has already announced six openings, grand openings, … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more