NEW BEARISH Plays
M/I Homes, Inc. - MHO - close: 19.30 change: -0.80
Stop Loss: 20.11
Current Gain/Loss: unopened
Entry on August -- at $--.--
Listed on August 14, 2013
Time Frame: 4 to 6 weeks
Average Daily Volume = 388 thousand
New Positions: Yes, see below
Why We Like It:
MHO is a homebuilder. We already have a homebuilder on the Premier Investor play list with MDC but I'm unhappy with MDC's performance and the homebuilders continue to show relative weakness. MHO underperformed both the broader market and its peers in the homebuilder industry with a -3.98% drop today. The breakdown below round-number resistance at $20.00 is definitely bearish. I do see potential support at its November 2012 low near $19.18. Therefore I am suggesting a trigger to launch bearish positions at $18.95. If triggered our target is $16.15.
FYI: The Point & Figure chart for MHO is bearish with an $11 target.
Trigger @ 18.95
Suggested Position: short MHO stock @ (trigger)