Leading home improvement retailer Home Depot (HD) reports earnings before the open Tuesday. The stock has been mostly sideways for more than a year and I am tactically short.

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That is, I’m a long term believer in the company but I think it will be buffeted by the macro environment for the next year or two. 

This was supported by HD’s guidance last quarter of flat comparable sales and a mid single digit EPS decline for the current fiscal year. I believe this is because HD is being impacted by a slowing housing market.

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