Home Depot (HD) Offering Possible 56.25% Return Over the Next 23 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 $245.00 short call and a strike $255.00 long call offers a potential 56.25% return on risk over the next 23 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $245.00 by expiration. The full premium credit of $3.60 would be kept by the premium seller. The risk of $6.40 would be incurred if the stock rose above the $255.00 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 64.19 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

Home Depot Stock Near All-Time High Ahead of Earnings
Mon, 24 Feb 2020 18:22:11 +0000
Home Depot has made an impressive recovery since missing third quarter 2019 estimates in November and dropping to a four-month low.

Day Ahead: Top 3 Things to Watch for Feb. 25
Mon, 24 Feb 2020 18:18:00 +0000
By Kim Khan

Home Depot, Macy's, TJX Companies, Best Buy and JC Penney are part of Zacks Earnings Preview
Mon, 24 Feb 2020 16:32:04 +0000
Home Depot, Macy's, TJX Companies, Best Buy and JC Penney are part of Zacks Earnings Preview

Here’s the segment of the economy that may benefit from fears of coronavirus, analysts say
Mon, 24 Feb 2020 15:36:00 +0000
As the COVID-19 spreads and the patient count and death toll grow, economists are slashing their once-rosy expectations for global growth in 2020.

Retail Holiday Season Results on Deck: What to Watch Out For
Mon, 24 Feb 2020 15:02:44 +0000
Low unemployment level, faster increase in wages than inflation and confident consumers during the fourth quarter have certainly helped retailers.

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