Steel and ironÂ stocks have been hot. Over the last month they gained 21.2%. Last week they were up 4.4%. Here are 11 bullish steel stocks, in order of greatest average volume to least.
[[RIO]] Volume on theÂ move above theÂ 50 dayÂ average has not been great. A quick pullback would not be a surprise.
[[GGB]] broke down out of a huge triangle. It has since broken back up through the triangle. The volume here is very bullish, and I would consider buying on a pullback, somewhere near the upper line of the triangle.
[[NUE]] has broken out of a long base, but the volume has not been very large on the move up.
[[CLF]] looks great, but the large trading range leaves me concerned. I would like to see it break firmly above the upper range.
[[AKS]] also has interesting technicals. This one also broke down out of a triangle and then broke back up through the triangle. Nice how it retested the upper line of the triangle on the recent pullback. This one is looking juicy here.
[[STLD]] looks like it may get stuck in a range, unless it blows past the December highs.
[[MM]] I would not short this one, although it is way overdue for a pullback. What a killer uptrend.
[[MTL]] What a great breakout, although volume Friday was poor. I would like to see an orderly pullback at this level and then get in on a bounce from the upper range.
[[PKX]] This one looks like it can have very little risk for a huge possible return. I’d risk 10 points, with a stop below 120, with the possibility that it shapes a long cup pattern. Although watch the moving averages, as the 50 day is pressing this one down.
[[ZEUS]] Another great breakout. Do you wait for more of a pullback here?
[[MEA]] A classic cup with handle formation.
If you want to play steel through an etf, use [[SLX]].Â SLX just made a fresh 52 week high, although volume was less than stellar.
With the exception of the stocks that have already broken out, what we want to watch for is whether the rest break out, or fall back within their trading ranges.
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