When Kb Home (KBH) Moves Investors should Listen

September 20, 2021, 23:30 pm ET, BY Rick O.- Contributor| Editor: Thomas H. Kee Jr. (Follow on LinkedIn)

How do we know what is going on #behindthescenes of a company?  According to Stock Traders Daily, a 20-year #financialindustry innovator, the best way to do this to to watch the price action in the stock. The  Kb Home (NYSE: KBH) report below is a real world example. Included are trading plans for KBH, but this report is static. If you want an update, or a different stock, please get one here Unlimited Real Time Reports. 

Longer Term Trading Plans for KBH

• Buy KBH slightly over 40.53 target 45.33 stop loss @ 40.41 Details

The technical summary data tells us to buy KBH near 40.53 with an upside target of 45.33. This data also tells us to set a stop loss @ 40.41 to protect against excessive loss in case the stock begins to move against the trade. 40.53 is the first level of support below 40.83 , and by rule, any test of support is a buy signal. In this case, support 40.53 would be being tested, so a buy signal would exist.

• Short KBH under 45.33, target 40.53, stop loss @ 45.46 Details

The technical summary data is suggesting a short of KBH as it gets near 45.33 with a downside target of 40.53. We should have a stop loss in place at 45.46though. 45.33 is the first level of resistance above 40.83, and by rule, any test of resistance is a short signal. In this case, if resistance 45.33 is being tested, so a short signal would exist.

Swing Trading Plans for KBH

• Buy KBH slightly over 41.61, target 45.33, Stop Loss @ 41.49 Details

If 41.61 begins to break higher, the technical summary data tells us to buy KBH just slightly over 41.61, with an upside target of 45.33. The data also tells us to set a stop loss @ 41.49 in case the stock turns against the trade. 41.61 is the first level of resistance above 40.83, and by rule, any break above resistance is a buy signal. In this case, 41.61, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short KBH near 41.61, target 40.53, Stop Loss @ 41.73. Details

The technical summary data is suggesting a short of KBH if it tests 41.61 with a downside target of 40.53. We should have a stop loss in place at 41.73 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 41.61, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

Day Trading Plans for KBH

• Buy KBH slightly over 41.61, target 42.06, Stop Loss @ 41.51 Details

If 41.61 begins to break higher, the technical summary data tells us to buy KBH just slightly over 41.61, with an upside target of 42.06. The data also tells us to set a stop loss @ 41.51 in case the stock turns against the trade. 41.61 is the first level of resistance above 40.83, and by rule, any break above resistance is a buy signal. In this case, 41.61, initial resistance, would be breaking higher, so a buy signal would exist. Because this plan is based on a break of resistance, it is referred to as a Long Resistance Plan.

• Short KBH near 41.61, target 40.76, Stop Loss @ 41.71. Details

The technical summary data is suggesting a short of KBH if it tests 41.61 with a downside target of 40.76. We should have a stop loss in place at 41.71 though in case the stock begins to move against the trade. By rule, any test of resistance is a short signal. In this case, if resistance, 41.61, is being tested a short signal would exist. Because this plan is a short plan based on a test of resistance it is referred to as a Short Resistance Plan.

KBH Ratings for September 20:

Term →	Near	Mid	Long
Rating	Neutral	Weak	Strong
P1	0	0	40.53
P2	40.76	40.16	45.33
P3	42.06	41.61	50.51

Support and Resistance Plot Chart for KBH

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