HD, Home Depot

hd lhd m

The symmetry in this stock’s ups and downs is quite remarkable. Ever since the 2/3 drop from the peak at $60+ the stock appears to have traced out a very nice counter-trend correction, an a-b-c where all three legs are equal. If this is the correct interpretation, the next major move should be down with a target of about $14 assuming a proportionate drop for wave C (2/3 off $40).

hd s

The short-term chart does support this conclusion. Both the RSI and MACD are getting a little rich and the stock is right on a trend line.