HD closes higher for the 2nd day in a row
Home Depot Inc. (HD) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, HD ended the month 0.82% higher at 250.51 after gaining $4.39 (1.78%) today, outperforming the Dow Indu. (0.85%).
Daily Candlestick Chart (HD as at Jun 30, 2020):
Tuesday's trading range has been $5.48 (2.22%), that's slightly below the last trading month's daily average range of $5.94. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for HD.
One bullish candlestick pattern matches today's price action, the White Candle.
The stock managed to close back above the 20-day moving average at 248.57 for the first time since June 23rd. When this moving average was crossed above the last time on June 22nd, HD gained 0.46% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might speed up should prices move above the close-by swing high at 253.44 where further buy stops could get activated. With prices trading close to this year's high at 259.29, upside momentum might accelerate should Home Depot be able to break out to new highs for the year.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Price broke through Technical Resistance R1" stand out. Its common bullish interpretation has been confirmed for Home Depot. Out of 262 times, HD closed higher 54.58% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 66.79% with an average market move of 1.00%.