Home Builder Stock Resembles Dot Com Era

The daily Market Watch over at Elliott Wave Intl.s' web site pointed out that the home building segment is putting in a parabolic top. Such price movements appear in financial bubbles through out history.

In some bullet points on what market conditions accompany these tops, this one caught my eye. "Bad news being greeted with cheers."

We sure saw that yesterday, when the stocks of builders named in a kick-back scandal all made big gains of three to seven percent.