Home Depot (HD) Offering Possible 11.36% Return Over the Next 13 Calendar Days

Home Depot's most recent trend suggests a bearish bias. One trading opportunity on Home Depot is a Bear Call Spread using a strike $196.50 short call and a strike $201.50 long call offers a potential 11.36% return on risk over the next 13 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $196.50 by expiration. The full premium credit of $0.51 would be kept by the premium seller. The risk of $4.49 would be incurred if the stock rose above the $201.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Home Depot is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Home Depot is bearish.

The RSI indicator is at 37.3 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for Home Depot

The traders weigh in on Regions Financial, Home Depot and…
Thu, 02 Aug 2018 17:16:00 +0000
The "Halftime Report" traders answer viewer questions on Regions Financial, Home Depot and Micron.

Home Depot Is Stalled Around Its January High
Wed, 01 Aug 2018 15:46:00 +0000
In this daily bar chart of HD, below, we can see that prices are just slightly above the rising 50-day moving average line. With the level of trading volume lower in July than June it would not surprise me that HD broke below the 50-day average line. The daily On-Balance-Volume (OBV) line shows an interesting bearish divergence.

Why There’s Still Plenty of Hope for Lumber Liquidators Stock
Wed, 01 Aug 2018 15:20:19 +0000
Lumber Liquidators (NYSE:LL) stock fell by over 20% following its second-quarter earnings report. The Virginia-based flooring retailer reported a loss as it missed earnings estimates by 30-cents-per-share despite higher revenues. Given the prospects for recovery, this knee-jerk reaction may have created a lucrative buying opportunity in LL stock.

Jim Cramer: Today's a Gloom Busting Day
Tue, 31 Jul 2018 23:01:00 +0000
We keep forgetting that the economy is strong. On the eve of the results of the two-day Fed meeting, we cannot forget that employment is robust and the gross domestic product of the previous quarter wasn't supposed to happen.

New Lowe’s CEO helps stuff disaster-relief buckets at Mooresville headquarters
Tue, 31 Jul 2018 18:42:14 +0000
New Lowe’s CEO Marvin Ellison was smiling and succinct Tuesday morning in Mooresville as he helped load 15,000 disaster-relief buckets that will go to California wildfire victims and to other disaster hotspots.

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