Home Depot (HD) Options Signal Bullish Bias: Key Strikes and Trade Setups for November 26, 2025

• HD surges 1.35% to $355.81, trading above its 200-day moving average ($377.18) but below the 30-day MA ($371.01).
• Options market favors calls: Put/Call OI ratio at 0.81, with heavy call interest at $357.5 and $400 strikes.
• Upcoming investor conference on Dec 9 and rate-cut speculation create near-term volatility catalysts.

The options market and technicals are sending a clear message: traders are leaning bullish on Home Depot, but caution is warranted. With HD trading in a short-term uptrend and a put/call imbalance favoring calls, the stage is set for a breakout—or a trap. Let’s break it down.

Bullish OI Clusters and the Shadow of Deep Puts

Options data tells a story of cautious optimism. This Friday’s expiring calls see heavy open interest at the $357.5 strike (OI: 2,900) and $400 (OI: 829), while puts pile up at $310 (OI: 2,041) and $335 (OI: 928). The call bias suggests positioning for a rally above $357.5, but the deep puts hint at fear of a sharp selloff.

Here’s the catch: HD’s RSI at 36.66 is in oversold territory, and the MACD (-12.31) is still negative, meaning momentum hasn’t fully turned bullish. The Bollinger Bands show the stock is trading near the middle band ($362.56), which could act as a floor or ceiling depending on volume. With no block trades to skew the data, this is a crowd-sourced setup—relying on retail and institutional bets converging at key levels.

News Flow: Retail Risks vs. Strategic Clarity

Home Depot’s recent news is a mixed bag. Closing stores on major holidays risks alienating customers, but the Dec 9 investor conference could calm nerves with a clearer roadmap. The Telsey Advisory price target cut to $430 reflects tempered optimism, while Jim Cramer’s rate-dependent warning adds a layer of uncertainty.

Consumer boycotts and housing market pressures are real threats, but the options market isn’t pricing in a collapse. The $310 puts (nearly 20% OTM) suggest a floor is being eyed, but HD’s 200-day support at $366.97–$368.80 is closer and more relevant. If the company navigates the holiday season without major PR blunders, the Dec 9 event could be a catalyst.

Trade Setups: Calls for the Bold, Puts for the Prudent

For options traders:

• Bullish Play: Buy HD 11/28 C 357.5 (expiring this Friday) if HD closes above $357.29 (today’s high). The strike is the most liquid call and could benefit from a short-term pop ahead of the investor conference.
• Bearish Hedge: Buy HD 12/5 P 350 (next Friday’s expiry) to protect against a pullback. The $350 strike is just 1.6% OTM and aligns with the 200-day support zone.

For stock traders:

• Entry Near $349.0 (Intraday Low): If HD holds above $349, consider buying dips toward $349–$350, targeting a rebound to $362.56 (Bollinger middle band).
• Breakout Play: If HD closes above $357.5 today, push entry to $357–$358 with a target at $368.80 (200D resistance).

Volatility on the Horizon

HD’s path hinges on two factors: the Fed’s rate decision and the Dec 9 conference. A rate cut could fuel a rally toward $395 (Bollinger upper band), while a delay might force a test of $328.20 (lower band). The options market is pricing in a 20% move either way by December, so position sizing matters.

Bottom line: This is a stock caught between short-term optimism and long-term uncertainty. The bulls have momentum, but the bears are lurking at $345–$350. Your move? Ride the call-heavy wave, but keep a put nearby. The next two weeks could define HD’s 2026 trajectory—and your portfolio’s share of it.