Home Depot (HD) Offering Possible 18.2% Return Over the Next 21 Calendar Days

Home Depot's most recent trend suggests a bullish bias. One trading opportunity on Home Depot is a Bull Put Spread using a strike $185.00 short put and a strike $180.00 long put offers a potential 18.2% return on risk over the next 21 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $185.00 by expiration. The full premium credit of $0.77 would be kept by the premium seller. The risk of $4.23 would be incurred if the stock dropped below the $180.00 long put strike price.

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

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

The RSI indicator is at 62.12 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

Is The Home Depot, Inc. (NYSE:HD) A Good Stock To Buy?
Wed, 27 Mar 2019 00:40:03 +0000
Out of thousands of stocks that are currently traded on the market, it is difficult to identify those that will really generate strong returns. Hedge funds and institutional investors spend millions of dollars on analysts with MBAs and PhDs, who are industry experts and well connected to other industry and media insiders on top of that. Individual investors can piggyback […]

Cramer: Blooming season has come for Home Depot, Lowe's, Lennar, and D.R. Horton stocks
Tue, 26 Mar 2019 23:18:06 +0000
Jim Cramer says investors should panic about February's weak housing start results because the market is about to rebound.

Cramer: Blooming season has come for housing sector stocks
Tue, 26 Mar 2019 23:12:05 +0000
Jim Cramer says investors should panic about February's weak housing start results because the market is about to rebound.

Jim Cramer: Don't Be Afraid of the Housing Start Number
Tue, 26 Mar 2019 23:01:00 +0000
This is a natural decline that will be followed by an advance you can profit from as housing endures its annual spring rebound.

Homebuilders ETF falls despite appearance of 1st bullish 'golden cross' pattern in more than 2 years
Tue, 26 Mar 2019 17:59:00 +0000
The SPDR S&P Homebuilders ETF fell 0.5% in afternoon trade Tuesday, in the wake of disappointing housing data, ironically on the same day that a bullish "golden cross" chart pattern is set to appear. Of the ETF's 35 equity components, 25 were trading lower. Earlier, data showed that February housing starts dropped a more-than-expected 9% and home price growth slowed in January, to the slowest pace in 6 1/2 years. Meanwhile, a "golden cross" is when the 50-day moving average, a short-term trend guide, crosses above the 200-day moving average (DMA), a longer-term trend tracker. Many chart watcher believe the crosses mark the spot a short-term rally transforms into a longer-term uptrend. The homebuilders ETF's (XHB) 50-DMA currently extended to $37.377 while 200-DMA was at $37.370, according to FactSet. That would mark the first time the XHB's 50-DMA was above the 200-DMA since April 20, 2018, and be the first "golden cross" since Jan. 23, 2017. Among the XHB's more active components Tuesday, shares of D.R. Horton Inc. shed 2.0%, Lennar Corp. gave up 0.7%, Lowe's Companies Inc. slipped 0.1%, Home Depot Inc. declined 0.2% and PulteGroup Inc. lost 0.1%.

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