Home Depot (HD-N) had a considerable rise from US$140.63 in March 2020 to US$420.54 in December 2021 (A-B), had a one-half correction (C) and then settled in a wide horizontal trading range mostly between US$270 and US$340 (dashed lines). The recent rise above the top of this range signaled a breakout and the start of a new uptrend toward higher targets (D). Behaviour indicators including the rising 40-week Moving Average (40wMA) confirm the bullish status.
Home Depot had a minor correction recently and found good support near $325.330 (E). Current price action suggests the resumption of the uptrend. Only a sustained decline below $325-330 would be negative.
Point & Figure measurements provide targets of US$400 and US$450. The large trading range (dashed lines) supports higher targets.
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Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart source: www.decisionplus.com