What Does the Stockland Share Price Tell You about the Housing Market

What’s Happening to Stockland’s Share Price?

Stockland’s share price has been on a strong rise over the last few weeks confirming the news yesterday of an 8.5 % rise in profit from the previous financial year.

Why is this Happening to SGP Shares?

The rise in price comes on the back of a strong performance from its residential business. Operating profit in the residential business jumped 72.8 % due to increased sales and better margins, according to managing director Mark Steinert.
Here’s a daily chart of SGP:

Terence-graph

Source: Market Analyst

What Now for SGP Ltd?

It may consolidate some recent gains. However, if you look at charts of other players in the construction sector, Lend Lease, Mirvac, James Hardie, AV Jennings, and suppliers Boral and Adelaide Brighton, points to something happening in this sector. This should not take you by surprise if you understand the cycle. If by chance you have no understanding of the 18 year real estate clock, you are at a severe investment disadvantage. Go here to find out more. The clock continues to tick over.

Cheers,
Terence Duffy,
Research Analyst, Cycles, Trends and Forecasts

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Terence Duffy is an analyst and chartist, specialising in researching economic trends and cycles.  His primary focus is housing and land affordability. But you can also depend on him to offer his unique analysis of stock market charts. As Terence will show you, the charts often forecast, well in advance, the good or bad news to come — which he details in Cycles, Trends and Forecasts.


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