Chart of the Day: Is Our Homebuilder Play at the Bottom?

Avatar photo Bob Lang on August 10, 2026

For months the chart of Builders FirstSource ($BLDR) has been dragged along the bottom, scraping and trying to hang onto established levels of support. Those number are roughly $72 to $76, which had been important levels way back in 2022. Now, as we assess the daily chart there is no question the stock shows bearish qualities. MACD, though, has just turned up and so has stochastics (momentum), so there are some green shoots appearing.

But before we get too enthused, we have to respect the top of the chart, which is still pink/purple, reflecting bearishness on the GoNoGo composite of indicators. In true fashion, this indicator tells the viewer to be cautious about buying and tread carefully. Seeing as though our objective is long term, we decided to add a small slice of BLDR last week after a long stretch of base-building, which may not be finished.

However, the levels talked about earlier have held firm, so we wait for the breakout to occur at some point. Patience can pay off nicely here, since the stock was up near $230 back in 2024.

We like Builders FirstSource in TheStreet Pro Portfolio and rate it a two, stockpile on pullbacks.

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At the time of publication, TheStreet Pro Portfolio was long BLDR.

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Posted by Bob Lang

Bob Lang is one of the country’s top options traders, an expert market technician, and a highly sought-after mentor and teacher. He is a private trader in equity and option markets and created his own hedge fund and options trading company called Explosive Options. He is also founder and Chief Options Analyst at Aztec Capital, LLC. He has been a regular contributor to TheStreet Pro's paid subscription products since 2009. Lang is both a short-term trader and long-term stock investor. He utilizes technical and fundamental analysis to find investment opportunities. His coverage for TheStreet Pro specializes in options trading, stock investing, and technical analysis. One of Lang’s claims to fame is his creation of the acronym FANG to describe the top tech companies at the time (Facebook, Amazon, Netflix, and Google). The acronym has since expanded considerably and is still widely used today. He is the author of the book “Know Your Options” and holds an MBA from the University of Redlands. When he’s not providing financial commentary for TheStreet, he can be found on the tennis court, reading, or traveling.

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