I am stepping a little bit out onto a limb on this call, if only because HD has had such a strong, persistent advance from last fall. When you consider for Home Depot peaked 7 years ago it is a good reminder that HD is a cyclical stock. Cyclical stocks tend to look great after big rallies and they look terrible on the charts going into bottoms. Well, Home Depot looks great. If I had to stay short this, I would find something to go long against it, like Walmart. The boxes on the chart are the same size. If I can add at some point how HD reacts to news then I will have a much stronger argument to make. Cheers. Technical Tim 11:14AM EST, Wed, March 7, 2012 46.90 last.
Subscribe to my indicator package KEY HIDDEN LEVELS $10/mo or $100/year and join me in the trading room KEY HIDDEN LEVELS here at TradingView.com