T2108 Update (January 26, 2017) – Another Overbought Period Bites the Dust for the S&P 500

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

T2108 Update (January 24, 2017) – Bullish Writing On the Walls…With Footnotes

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

Following the Lead of AK Steel’s CEO As He Buys Company Stock

(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) Steel stocks have essentially collapsed during this summer’s severe correction. Some have retested lows going all the way back to March, 2009. The stock market is essentially placing its votes and bets on a double-dip … Read more

AK Steel Suffers Largest One-Day Loss In Three Years on Poor Earnings

(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) The shorts finally nailed AK Steel (AKS) (shorts are about 17% of AKS’s float). On July 26, AKS reported it will be squeezed by lower steel prices and higher input costs – especially iron ore. … Read more

AK Steel Drives for More Pricing Power

AK Steel (AKS) reported earnings January 25. The news was good enough to send the stock up 7.7% and back above its 200-day moving average (DMA). Since then, AKS has essentially recovered all the damage done by a Goldman Sachs downgrade to sell in early January. *Chart created using TeleChart: AKS delivered a mix of … Read more

Steel Stalls

The massive and historic floods in Australia have driven coal prices up. This is particularly important for steel since Australia exports 2/3 of the world’s coal used for making steel (coking coal). Steelmakers have already been struggling with increasing input costs, so the Australian floods are sure to pinch profits further. At the close of … Read more

The Breakout In Steel Stocks Gains Momentum

Lately, it seems I have been pointing out more and more stocks in breakout formations. It makes the skeptic in me a little wary and nervous, but I will keep rolling with what works. And steel stocks have finally started working over the past month. I have to assume that the market is seeking out … Read more

What Is the Deal with Steel Production and Prices?

Last week, I noticed media headlines screaming the horrible news that “Crude steel output in 2009 to hit lowest level in 40 years.” As I searched for the direct source of this quote from Japan’s Ministry of Economy, Trade, and Industry (METI), I stumbled upon its “Preliminary Report on Iron and Steel, Non-ferrous metal, and … Read more