Take Beazer Profits!

As National Mortgage Rates Fall, You Gain

By Bryan Bottarelli
Wednesday, December 06, 2006 9:52 AM EST
Wed, 6 Dec 2006 14:52:00 GMT

Dear Bottarelli Research Member,

This morning, bankrate.com is reporting that the 30-year fixed, the 15 year fixed, the 5/1 ARM, and 30 year fixed jumbo, and even the 5/1 jumbo ARM are all falling. This broad-based rate drop is once again providing a lift to the housing sector, as reduced rates spark new buying activity. That’s always a positive, especially for homebuilders like Beazer Homes (BZH – NYSE).

As I write, Beazer is up over $1.00 and the BZH February 50 Calls (BZH BJ) that you bought yesterday for $2.05 have traded as high as $2.60 in early action. That’s good for a 26.82% gain in one day — take the money and run!

PLAY: Sell your BZH February 50 Calls (BZH BJ) at or above $2.50, good for the day.

Of course, I’ll be out with more updates as the day progresses. But until then…

Lock and load!

Sincerely,

Bryan Bottarelli

Bryan Bottarelli
Editor, Bottarelli Research

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