HD - enter postion For people that always ask how do you know where to get in. This is a good example. You want to wait till this gets over this last pivot lower (trapping shorts) and above the 200MA. Once and only once it gets above that you can take the trade to the 100MA. That will be a good place for it to rest a day or two and either break higher or use the 100MA to show resistance. So always look what's above you and the last pivot of weakness.
HD trade ideas
Go long HD on test of 164.75I'm not predicting HD gets to the untested support level of 164.75, but upon the FIRST touch of 164.75, enter a long position.
Untested support levels create a pop up to the nearest level of consolidation.
Target: anything close to the consolidation around 172
Stop: Right under the area of wicks under your entry, so around 162ish
Go long on HD on first touch of 180Home Depot has an untested support level at 180 back from April 2018.
Setup:
If (and only if) HD gets down to 180, enter a long position on first touch of the 180 support level.
Stop:
Anywhere below 180 is fine, just don't go too tight. Maybe 178ish.
Target:
First target will be around 190 for an exit or at least profit-taking, which is the first area of consolidation and untested resistance levels.
A riskier target will be up in the 203 range where there's more congestion and untested levels.
Law of gravity - things eventually need to come down..Home Depot reached an all time high last night after months and months of climbing.
This was a beautiful sign for traders to take short positions and bring the stock back to correction.
Today at its opening, it dropped 2%.
Entry: $212.3
Exit: $209
Return: 1.5%