This afternoon a tweet by @EquityClock caught my eye: the seasonality of Steel in Q4. See it below. I like this as right now gold, silver, miners, and most metal stocks are out of play for me. I believe there is further unwinding to come. So with that I dug into some steel stocks and came across a handful of intriguing ones.
Here they are in no particular order:
SXC: I posted this on my StockTwits last week. I took a position Wednesday at the close when we finished the day above the 6 month ascending triangle pattern. I see a nice daily volume tick yesterday. We also hit overbought, which has stayed so for most of the year. Bullish for trend continuation to me. I trade off the weekly chart mostly, but didn’t want to pass on this one.
GGB: Latin america has been on fire all year. I expect this continue and will really like this once we are above 2008/2009 lows. Big volume and the trend has changed with the overbought readings.
VALE: Another latin america company. It hasn’t reached overbought yet, but I believe it will and the trend has changed. Accompanied by a nice falling wedge.
CLF: This stock had a run early in the year, but I still like it a lot. It can run way, way more if we get a bull market in metals. Also still sitting at a 33% short interest.
WOR: Consolidating at ATH’s
ROCK: Nice box here at ATH’s
ATI: 20% short interest. Bullish divergence.
AKS: 29% short interest. Up, over, and back tested the trend line. Looks good on a monthly perspective as well.
Let’s see whats in store for Steel in the fourth quarter. Have a good weekend.