Even though it is still a few points below my $82 buy-cover stop-loss, I elected to cover my Home Depot short inside 12631 just now at $80.29, taking a small loss from my $80.12 core entry and $79.05 add.
I am not a big fan of letting counter-trend bets drag on for a while–The idea was to play for an immediate reversal lower off the bearish RSI divergence to the May highs. Beyond that, I still think the stock is abnormally extended on the monthly timeframe, indicative of a very complacent trend.
Nonetheless, I am not going to argue against the market due to how strongly the stock rallied off the lows this morning, and the overall resilience it has shown. I may revisit this idea in the near future, especially after earnings later this month.
But for now I will take the small loss and move on.
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