Steel Pins

After an impressive reaction to STLD‘s earning last evening, the steel names continue to shine even as the broad market is flattening out a bit. To be sure, just about all of the steel names had been hit pretty hard over the past few weeks. Thus, in looking for “pin action” plays off of STLD, I look for two qualities:

1. Strong price performance relative to other steels.
2. “Clean” charts that are not running directly into near-term moving averages, etc.

To my eye, the two cleanest charts of steel stocks that are performing the best are AKS and SID, with X also performing well albeit with a sloppier chart than the other two. Note that X and AKS both report earnings on 04/26.

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