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.
Trade ideas
$HD Reversal trade alert on Home Depot Entry level $215.03 = Target price $228 = Stop loss $212.69
Indicators in reversal.
Bullish bounce of the 200ma
Possible break from falling wedge
Average analysts price target $235 | Overweight
P/e 21.28
Home Depot, Inc. is a home improvement retailer, which engages in the sale of building materials and home improvement products. Its products include building materials, home improvement products, lawn and garden products, and decor products. It offers home improvement installation services and tool and equipment rental. The company was founded by Bernard Marcus, Arthur M. Blank, Kenneth Gerald Langone and Pat Farrah on June 29, 1978 and is headquartered at Atlanta, GA.
$HD possible bounce to 216 then target Lower low at 204Bullish reversal candle with large volume suggest bounce for 2-3 days targeting 216 then continue falling to main support above 200 at 204-203 . also possible to extend this bounce to broken trend at 221 to re-confirm it for 3rd time and fall from there .. remained short for long time frame
HD: Still in an uptrend, but large correction loomingI know this sounds crazy, but I have been eyeballing HD for potential Short for a bit. Home Depot is a leading indicator that the economy or housing market is taking a turn. If we see the economy and housing market pull back near the end of 2020 as many predict, we could see a correction all the way down to its larger, ascending support, all the way down to the $180-185 range. Here's how it may turn out... forgive my cool arrow art.
We are currently in a short term uptrend, howver, the current support line has broken through. This could simply be a throw under as we have bullish divergence on the daily and the FIBs show a nice rebound zone here. I think we may see home depot pop back up again temporarliy. However, if we do not establish a higher high, or hit the same high as before and start a double top pattern, we could be in for a ride down to the major support line.
Home Depot Bearish Divergence Playing OutHD weekly chart had a bearish RSI divergence. The stock started breaking down on November 18th & has broken down through the support trendline this week as it nears the first potential pullback level.
There is a lot of call activity in this name today in the January 3, 2020, $230 calls.
HD Long PositionPotential long entry for HD is in the works. The stock has seen a recent drop due to the latest earnings report. After losing ~10% due to the negative market reaction, there may be an opportunity to go long. I've taken note of the following:
- Approaching 200MA which can serve as support
- Chart is currently along the lower bollinger band
- Stochastic indicator is under 20; if it curls upward over 20 this can be a bullish sign
- RSI is oversold @ 30
I'll be keeping my eyes on this to see if there is a partial reversal in store






















