MDCigan

Premature Return of Equity REITs?

"As a side note, before the purchases were announced, REITs looked the worst from a technical standpoint in the financial space. Now they are the best. So much for the utility of technical analysis."

A few months have passed, so a quick comment on this comment. I'm just not sure what technical analysis tools you were using to make your determination of going from worst to best. Technical picture has been negative since breaking the 200 day moving average, having the 50 day break below the 200 day, and the head and shoulders top:

worldbeta.blogspot.com...

Properly applied technical analysis would have gotten you out and kept you out during the bulk of the recent decline, and indeed did so for my REIT position. I have no issue with the utility of technical analysis.