Lennar (LEN) got extended on the upside in the past two months, but it has since corrected and could be bought now. Let's review the indicators.
In this daily bar chart of LEN, below, we can see how LEN sprinted from $40 in November to over $53 this month. LEN has pulled back in the past few sessions giving us a chance to buy more or initiate a long position. Prices are above the rising 50-day and the rising 200-day moving averages. There is a bullish golden cross at the end of February as these two moving averages crossed. The On-Balance-Volume (OBV) line started to improve in December as did the Moving Average Convergence Divergence (MACD) oscillator.
In this weekly chart of LEN, below, going back three years, we can see that prices are above the 40-week moving average line and that the line recently turned positive. The weekly OBV line has just started to improve and the weekly MACD oscillator is very bullish.
In this Point and Figure chart of LEN, below, we can see one breakout at $50 for this builder and there will be another breakout at $56. Assuming LEN follows through on the upside this chart projects a possible target of $73 for LEN.