Home Depot (NYSE: HD) is rarely a bad stock to hold, but it is occasionally a poor choice to buy. The best times to buy are not when the price is at a peak, above its moving averages, or showing resistance. Instead, good buying opportunities include setups like the one in mid-November after the Q3 earnings release.
The Q3 earnings release was lackluster, giving some investors an excuse to sell. Still, the move is opening up an attractive buying opportunity for others, with HD stock trading near one-year lows and the low end of a trading range where support is likely to be strong.
