Reliable Price Action: (NYSE:ODP) Office Depot

Here is an interesting stock chart I created. 

                            

At a first glance Office Depot $ODP might not seem vey exciting, but surprisingly might be one of my top picks for the month. If you take a look at the first image, I made an emphasis on two indicators solely: DMI and SMA. The Simple Moving Averages are all lined up, indicating a very strong uptrend. The 20sma is still on top of the 50sma,also very bullish in the short-term. This chart is very convenient for position traders, being able to make huge gains out of this cheap stock, by just waiting for these crossovers; even better if waiting for the 200sma to cross. I also included the Directional Movement Index (DMI) to evaluate the strength of each major crossover (200sma). The +DI and –DI crossovers are working nicely in combination with the moving averages. These two studies together can be very profitable with $ODP. Now lets take a look at the second image. The Fibonacci Retracements are showing very strong levels. The other two red trend lines are also indicating reliable support/resistance levels. Finally I included two Gann lines coming from the top left corner, to prove that the chart is actually following a very organized trend and is not messy as it seem at a glimpse.

Alexander Schachter