#$hd

Home Depot, $HD, comes into the week rounding up out of a pullback to the 200 day SMA. It has a RSI climbing to the midline out of oversold territory with the MACD negative but crossing up. There is resistance at 395 and 403.25 then 412 and 420 before 424 and 432. Support lower is at 387.50 and 382 then 375. Short interest is low at 1.25. The stock pays a dividend with an annual yield of 2.35% and has traded ex-dividend since September 4th.

The company is expected to report earnings next on November 18th. The November options chain has biggest open interest build from 410 to a peak at 365 on the put side. The call side is biggest at 420 then 440. The December options chain has biggest open interest at 350 then at 400 and 380 on the put side and at 380 then 415 and 420 on the call side. Finally, the January chain has biggest open interest at 360 and 380 on the put side and at 380 below and 400 and 420 above on the call side.

Trade Idea 1: Buy the stock on a move over 395 with a stop at 381.

Trade Idea 2: Buy the stock on a move over 395 and add a November 390/375 Put Spread ($5.40) while selling the November 420 Calls ($3.50).

Trade Idea 3: Buy the November/December 420 Call Calendar ($3.10) and sell the November 360 Put ($3.20).

Trade Idea 4: Buy the January 370/400/425 Call Spread Risk Reversal (5 cent credit).

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After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which with October Options Expiration in the rearview mirror saw equity markets hold up well into the start of earnings season despite rising volatility.

Elsewhere, look for Gold to continue the uptrend to new all-time highs while Crude Oil moves lower in a short term downtrend to the bottom of consolidation. The US Dollar Index continues to drift down in consolidation, while US Treasuries hold higher in their consolidation, continuing to tease of a reversal higher. The Shanghai Composite looks to continue the short term consolidation in the uptrend near 10 year highs while Emerging Markets also continue their uptrend to new 4 year highs.

Home Depot, $HD, comes into the week rising above short term resistance after consolidating over the 200 day SMA. This is just above the middle of a range that price has oscillated in since February 2022. The Bollinger Bands® are open to the upside. The RSI is rising in the bullish zone with the MACD positive and moving higher. There is resistance at 311 and 314.25 then 322 and 324.50 before 330 and 334 then the top of the range from 340 to 350. Support lower comes at 309 and 305 then 300. Short interest is low under 1%. The stock pays a dividend with an annual yield of 2.69% and starts trading ex-dividend November 29th. 

The company is expected to report earnings next on February 20, 2024. The December options chain shows big open interest from 310 to 280 on the put side and building from 290 to a peak at 310 then tailing to 340 on the call side. The January chain is biggest at the 300 put and spread from 290 to 360 on the call side. February shows biggest open interest at the 275 and then 310 put strikes, and at the 325 and 330 call strikes. Finally, the March chain is biggest at 310 and 300 on the put side and at 310 on the call side.

Home Depot, Ticker: $HD

Trade Idea 1: Buy the stock on a move over 312 with a stop at 305.

Trade Idea 2: Buy the stock on a move over 312 and add a January 310/300 Put Spread ($3.60) while selling the March 340 Call ($3.00).

Trade Idea 3: Buy the January/February 330 Call Calendar ($1.90) while selling the January 285 Put ($1.85).

Trade Idea 4: Buy the March 280/320/330 Call Spread Risk Reversal (30 cents).

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Heading into the last week of November, equity markets continue to look strong and ready for more upside. Elsewhere look for Gold to continue its short term move higher while Crude Oil bounces in the downtrend. The US Dollar Index continues the short term drift to the downside while US Treasuries bounce in their downtrend. The Shanghai Composite looks to stall in its bounce while Emerging Markets consolidate in a broad range.

Home Depot, $HD, comes into the week approaching resistance. This is in a consolidation zone that is the handle for a Cup and Handle pattern. A break to the upside would give a target to 386. The Bollinger Bands® opened to the upside Friday to allow a move. The RSI is rising in the bullish zone with the MACD positive and crossing up. There is resistance at 334 and 340 then 344.50 and 355 before 365 and 375. Support lower comes at 326.50 and 322.25. Short interest is low at 1%. The stock pays a dividend with an annual yield of 2.51% and has traded ex-dividend since August 30th. 

The company is expected to report earnings next on November 14th. The September options chain shows the biggest open interest at the 325 and then 300 put while at the 300 then 335 call strikes. In the October chain open interest is biggest at the 315 put and the 330 call strikes. Finally, the November chain has biggest open interest at the 250 put and then 310, 335 and 350 call strikes.

Home Depot, Ticker: $HD

Trade Idea 1: Buy the stock on a move over 334 with a stop at 322.

Trade Idea 2: Buy the stock on a move over 334 and add an October 330/320 Put Spread ($2.80) while selling the October 350 Call ($2.30).

Trade Idea 3: Buy the September/November 340 Call Calendar ($9.10) while selling the October 320 Put ($3.15).

Trade Idea 4: Buy the November 320/340/360 Call Spread Risk Reversal ($1.30).

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After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which heading into the unofficial end of summer Labor Day holiday, saw equity markets show resilience with a rebound higher off support ending the downtrend.

Elsewhere look for Gold to continue to consolidate near its high while Crude Oil looks to start a trend higher. The US Dollar Index continues its short term trend to the upside while US Treasuries stall in their pullback. The Shanghai Composite looks to pause in the downtrend while Emerging Markets consolidate.

5 Trade ideas excerpted from the detailed analysis and plan for premium subscribers:

FedEx, Ticker: $FDX

FedEx, $FDX, comes into the week at resistance. The RSI is rising and the MACD moving higher. Look for push over resistance to participate…..

Fiserv, Ticker: $FISV

Fiserv, $FISV, comes into the week making a higher high. The RSI is rising into the bullish zone with the MACD positive and moving up. look for continuation to participate…..

Home Depot, Ticker: $HD

Home Depot, $HD, comes into the week breaking resistance. It has a RSI in the bullish zone with the MACD positive. Look for continuation to participate…..

HP, Ticker: $HPQ

HP, $HPQ, comes into the week rounding up toward resistance. It has a RSI in the bullish zone with the MACD positive. Look for a push over resistance to participate…..

Unilever, Ticker: $UL

Unilever, $UL, comes into the week breaking resistance. It has a RSI in the bullish zone with the MACD positive. Look for continuation to participate…..

If you like what you see sign up for more ideas and deeper analysis using this Get Premium link.  

After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which with just one trading day left in October, saw equity markets put in a strong week for the second week in a row.

Elsewhere look for Gold to continue its pullback while Crude Oil consolidates. The US Dollar Index looks to pullback in the uptrend while US Treasuries bounce in their downtrend. The Shanghai Composite looks to continue lower while Emerging Markets remain in a downtrend.

5 Trade ideas excerpted from the detailed analysis and plan for premium subscribers:

Citigroup, Ticker: $C

Citigroup, $C, comes into the week stalling. it has a RSI pulling back from the bullish zone with the MACD positive and climbing. Look for continuation to participate…..

Home Depot, Ticker: $HD

Home Depot, $HD, comes into the week retesting the June high. The RSI is rising in the bullish zone with the MACD positive and climbing. Look for a push over resistance to participate…..

KBR, Ticker: $KBR

KBR, $KBR, comes into the week rising above prior resistance. The RSI is rising in the bullish zone with the MACD positive and moving higher. Look for continuation to participate…..

Levi Strauss, Ticker: $LEVI

Levi Strauss, $LEVI, comes into the week breaking resistance. It has a RSI deep in the bullish zone with the MACD positive and rising. Look for continuation to participate…..

Allscripts Health Solutions, Ticker: $MDRX

Allscripts Health Solutions, $MDRX, comes into the week curling back higher. It has a RSI rising towards the midline with the MACD moving up. Look for continuation to participate…..

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After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which with one week left in July, saw equity markets display a second straight week of highly positive correlation, but this time in a move up out of consolidation.

Elsewhere look for Gold to continue its pullback while Crude Oil pulls back in the uptrend. The US Dollar Index continues to pullback in its trend higher while US Treasuries bounce in their downtrend. The Shanghai Composite looks to continue the short term move lower while Emerging Markets continue in a downtrend. The Volatility Index looks to continue back towards normal levels making the path easier for equity markets to the upside.

Home Depot, $HD, fell back to retest the pre-pandemic high in March and then took off to the upside. It topped in May and then spent the next month pulling back, finding support in late June. It reversed and ran higher to just shy of the May top 2 weeks ago and then stalled. The price got knocked back following their earnings report last week, but it ended the week moving back higher. 

The RSI is also reversing back to the upside while the MACD levels after pulling back, in positive territory. The Bollinger Bands® are opening but flat. There is resistance at 330 and 337.50 with a gap to fill to 341 above. Support lower comes at 326 and 321 then 317 and 310 before 299. Short interest is low at 1.1%. The stock pays a dividend with an annual yield of 2.00% and begins trading ex-dividend on September 1st. The company is expected to report earnings next on November 16th. 

The September options chain shows large open interest from 330 down through 290 on the put side and much larger ad focused at 340 on the call side. The October chain has open interest spread from 320 to 290 on the put side and again bigger on the call side at 340 and 350. In the November chain the open interest builds from 325 to a peak at 290 on the put side. On the call side it is spread from 320 to 360.

Home Depot, Ticker: $HD

Trade Idea 1: Buy the stock on a move over 330 with a stop at 320.

Trade Idea 2: Buy the stock on a move over 330 and add a September 325/315 Put Spread ($3.05) while selling the October 345 Calls ($3.70).

Trade Idea 3: Buy the September/November 345 Call Calendar ($6.10) and sell the September 310 Put ($1.96).

Trade Idea 4: Buy the November 300/335/350 Call Spread Risk Reversal (10 cents).

If you like what you see sign up for more ideas and deeper analysis using this Get Premium link.  

After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which with August monthly options expiration in the books, saw equity markets tackling their 4th monthly expiration week dip and ending the week moving back up.

Elsewhere look for Gold to continue to consolidate while Crude Oil pulls back. The US Dollar Index continues to move to the upside while US Treasuries also work in an uptrend. The Shanghai Composite looks to pullback in consolidation while Emerging Markets trend lower.