Monday 19 December 2016

X - short term weakness

Whilst the broader equity market remains very close to historic highs, US Steel (X), remains in cooling mode from the recent high of $39.14, settling today -0.6% @ $34.48. Next soft support is around 32, and then the 30/29 zone. Mid term outlook remains bullish unless Jan' price action <$27.

X, daily

X, monthly


Suffice to add, X settled lower for the second consecutive day. The break of the $34 threshold is significant (intra low $33.89), and strongly bodes for further weakness to at least the low $32s.. if not 30/29.

Broadly though, like the main market, X looks strong.

Any monthly close >$40 will offer a straight run to the $60s by end 2017.