US Steel (NYSE: X) has been on a rollercoaster ride this year, but things are looking up. In fact, the stock may be looking at higher prices during the second half of 2016.
Like many stocks across sectors, it had a dismal start to the year, hitting a multi-year low in the single digits. After recovering with the market in March and April, US Steel has consolidated nicely. As you can see in the chart, it has enjoyed a series of higher lows, and now it looks ready to break higher.
The MACD has just confirmed a bull signal. Relative strength looks good, and the steep uptrend line is intact. A move over 21 on good turnover is going to be a positive development.
It’s worth noting that the entire commodity group is moving up, including Nucore (NUE), AK Steel (AKS), Reliance Steel & Aluminum (RS), and Carpenter Technology (CRS). All of them are looking strong as they move to multi-month highs.
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About US Steel
United States Steel Corporation produces and sells flat-rolled and tubular steel products in North America and Europe. It operates through three segments: Flat-Rolled Products (Flat-Rolled), U. S. Steel Europe (USSE), and Tubular Products (Tubular). The Flat-Rolled segment offers slabs, rounds, strip mill plates, sheets, and tin mill products. This segment serves customers in the automotive, consumer and the combined industrial, service center, and mining commercial markets.