HD trade ideas
HD BounceHD on the 4-hour chart has reached its highs while being overextended beyond the bollinger band. It has also pulled away from its moving averages. This can cause a bounce off the highs which are acting as resistance trending back to the moving averages. I expect this to be a quick trade, with a 1-2 day turnaround.
The Home Depot, Inc. (HD)The Home Depot, Inc. (HD) is approaching a potential breakout point at 236.5. Target area 240-244.
Bearish Engulfing in HD on FridayBearish Engulfing in HD on Friday.
Stock tested upper resistance level of massive window but failed 2 times. This second time a bearish engulfing was formed. Short idea, with tight stop loss above pattern high @ 235,71 USD.
Target is set to last significant low of the former rally, which is at around 217,53 USD.
LET'S PUSH TO $239 RECORD HIGHHD had been trying to break 1st resistance $236 and got rejected. I'd be confident if it breaks, it'll move up to the 2nd resistance $239 by eow.
My stop loss is set at $232 if it goes south.
Bullish If it breaks the rejection points at $232.30, we are looking at TG1 $235ish area and if it continues TG2 $237.
Short $HD into earningsWe got a live block trade today at about 9:34 AM EST. I am thinking of a short here as it looks like a buy capitulation is underway with the rest of the stock market after the #CHINA and #USMCA vote.
HD Long on SMA 200 bouncePros:
- FI and MACD both trace higher low even when the price is at lower low.
- RSI traced double bottom and RSI starting to slope up
- MACD histogram in weekly trend has alredy ticked down quite abit (lower potential downside)
- High potential profit if prices break above SMA200. Can realistically expect 4R-5R profits
Cons:
- Volume on red days still relatively high. Ideally would prefer a decline in red days volume as prices goes down for Long trade. I am betting on the SMA 200 holding based on FI, MACD and RSI
May the trend ContinueHome Depot shows a beautiful pullback to 200 moving average and also Fib 0.382, looks like it will continue the trend towards the golden ratio of 257$ Golden ratio 1.618
HD long term BUYHD I have it as a BUY today by my indicators. I could see it going back to retest the highs. Coming off support at the 200sma. Volumes good for 1/2 day. Earnings behind you. MACD crossing higher. Supporting MA's crossing bullish. I like it.
HD should be good for a post-dividend bounceHome Depot's momentum has definitely been slowing lately, and the stock dipped hard after its latest less-than-stellar earnings report. However, the stock often dips before its dividend and then bounces after. With the stock going ex-dividend today (0.63% quarterly yield), it may be time for a bounce buy. December is usually a good month for Home Depot stock, and November's strong housing and construction data favor Home Depot's earnings success in the next quarter. HD has a 7.8/10 analyst summary score, an average analyst price target of $239 per share, and more-bullish-than-usual options interest today.
Long on Home Depot As part(10%) of the XLY sector ' looking at Home Depot with a 200 MA solid support .
Weekly reversalUpdate from this weekend's chart, we are still in calls on this out until January. You can now see the weekly reversal candle.
