Current trend

Shares of The Home Depot Inc., the largest home improvement company, have been trading in an upward trend for the third month: during this time, the price returned to Murrey’s main trading range and reached 367.19 (Murrey level [7/8]). After its breakout, growth to the upper level of the Murrey trading range 375.00 (Murrey level [8/8]) and further to the reversal zone 382.81 (Murrey level [ 1/8]) and 390.62 (Murrey level [ 2/8]) is expected. In case of consolidation below the key “bearish” midline of Murrey’s trading range 343.75 (Murrey level [4/8]), the upward trend may change, and the quotes will decline to the area of 328.12 (Murrey level [2/8]), and 312.50 (Murrey level /8]).

Technical indicators confirm the development of upward dynamics: Bollinger Bands and Stochastic are directed upward, and the MACD histogram is stable in the positive zone.

Support and resistance

Resistance levels: 367.19, 375.00, 382.81, 390.62.

Support levels: 343.75, 328.12, 312.50.

Trading tips

Long positions may be opened above 367.19 with the targets at 375.00, 382.81, 390.62 and stop loss around 362.00. Implementation time: 5–7 days.

Short positions may be opened below 343.75 with the targets at 328.12, 312.50 and stop loss around 355.40.