Pulte Group ($PHM stock) today announced the pending retirement of its CEO & Chairman today. The homebuilder stock got slammed -10% at the lows today because of the news. It is also important to note that other homebuilding stocks were only down -1 to -2% for the day, nothing comparable to the -10% $PHM destruction.
We found the carnage to be highly unwarranted and started bottom picking it around -7%. We loaded up near the intraday bottom today when we saw some big volume trades occur, which sometimes indicates a reversal point. That's indeed what happened and we rode the stock up and took profits along the way. All live trades called out real-time in the MookTrader stock chat room.
Net profit: $2810