HomeBuilders vs. Financials

Before you get too excited about the Financials (Doug!), have a look at this chart:

Chart courtesy of Jim Walker, Asianomics

It suggest quite a few untoward things about the FINs.

Note: I am not implying that they should trade identically to the Homebuilders -- just that it's quite possible that there is still more risk in them . . .

Source:
Economic Wave Theory
Dr. Jim Walker
Welling@Weedon, 1/25/08
http://tinyurl.com/2yunn4