Very similar setup to my previous EA post. Longer term flag formation. Could have legs on the downsite. RSI and stoch, as well as 50 and 200 day MA also point toward this being the case. Bounce from 168.80 on good volume would also be a nice trend reveral and long opportunity. One to watch..
Levels of support/resistance typically produce a pop or bounce on the first touch.
There is an untested level of support in the valley around $164
SETUP: This is not a prediction price will get to 164. However, if it does, enter long.
I call this conditional trading.
TARGET: $170 (or anything close)
This is an area below some ...
Black Friday is days away. The rotation out of the tech sector may find a home at HD. It showed relative strength on a down day and has been range bound for weeks. It is prime for a break out. However, the direction of the breakout will be up to the finish this week. I will look to exit my long calls if HD closes below $1170.60.
I use Home Depot's stock. HD along with Walmart WMT,
as a proxy to the health of the US consumer economy, and stock market.
The idea here is that these stocks tend to lead the economy in either direction,
representing the actual trend of what the purchasing power of consumers will be
either up or down, 6=9 months out in both discretionary HD or non-discretionary ...
Always a late reporting company, HD reported today before the market opened. HFTs were ready to gap the stock in the direction the algos perceived earnings. The chart patterns were setting up for a negative reaction. The stock is in the lower area of its trading range that has similarities to the S&P500 index chart's trading range pattern. Flow of Funds ...
Home Depot, a very mportant US retailer,
who many use to judge it's performance,
as a potential guide to the overall strength of the consumer economy,
came out with much better than expected earnings, and guidance today , 11/13/18
Yet take a look at Home Depot's stock price chart.
I've included the institutional 4 hour chart for observation.
HD topped right ...
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 ...
I'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
Home Depot has an untested support level at 180 back from April 2018.
If (and only if) HD gets down to 180, enter a long position on first touch of the 180 support level.
Anywhere below 180 is fine, just don't go too tight. Maybe 178ish.
First target will be around 190 for an exit or at least profit-taking, which is the first area of ...