Home Depot may rise to 433.00 - 439.00

401 is our pivot point.

Our preference

The upside prevails as long as 401 is support.

Alternative scenario

The downside breakout of 401 would call for 391 and 385.

Comment

The RSI is trading above 70. This could mean that either the stock is in a lasting uptrend or just overbought and that therefore a correction could shape (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the stock is trading above both its 20 and 50 day moving average (respectively at 395.392 and 375.1132).

Supports and resistances

445 **

439 *

433 **

427

414.18 (USD-last)

405

401 **

391 *

385 **

Number of asterisks represents the strength of support and resistance levels.