Home Depot shares in accordance with general market trend are approaching the minimum level of this year once gain. The level is close to the June bottom, which was 264.5. Thus, there were already those who wanted to buy cheaper shares on Friday.
As a result of the buyers’ activity, the pattern "bullish engulfing" was formed on the chart. However, it may not be enough to bounce up, especially in the case, when the RSI is still above the oversold zone.
A strong upward bounce is likely to require more attractive Home Depot stock prices. After the annual lows are updated, more convincing signals may be formed for a bounce towards 280.
This content is for informational purposes only and is not intended to be investing advice.