Re: Age 19, looking to invest
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Or....if you want something shorter term and liquid, can always just bottom-fish and trade the homebuilder stocks instead. I just got back into the market last week after a year hiatus..just a few G in margin account for some extra play money. But, my favorite builders now are DR Horton (DHI) and Lennar (LEN). I think most or all of the bad news is reflected in the beatdown in price, and they are already starting to form a base and creep up again. DHI at $23-$25 and LEN anywhere between $45-$50 should be fine. Any good news that comes out from here should help drift them back to highs...especially if sales start to pick up again in 2007. In my markets, I am seeing signs of at least a bottom and some buyers are returning, which has to be somewhat good news.
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No offense, but realtors are usually the last to know when a real estate market tops. I am heavily short on those two stocks, also Centex. One of them or more will probably file for bankruptcy before the end of the decade.
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