Home Depot (HD) is one of those boring stocks that just seems to go up month after month, year after year, and decade after decade.
Look closer, however. Two things have happened: one, it has, for the first time ever, broken its lifetime trendline, and two, it has completed a massive topping pattern with resistance now at approximately $320. I have bought January 2027 $320 puts against the stock, deliberating giving this trade a ton of time.
From a narrative perspective, it also helps that I believe bonds are going down, rates are going up, and in turn homebuilders (and associated businesses) will weaken.
