The steel industry is gaining popularity among investors as the information technology sector may be reaching a pause in its upward price movements. Five steel stocks specifically are showing promising signs of growth. Commercial Metals has broken out above the August/September 2023 resistance level on its daily price chart. Its 50-day moving average crossover of the 200-day moving average in February provided a positive signal. Carpenter Tech has not yet reached a new 52-week high, but it has shown encouraging signs of growth, with the 50-day moving average potentially curving upward again. Nucor has been on a steady upward trend since late October 2023, with a 50-day/200-day moving average crossover in December 2023. Reliance Steel is holding up well after a mid-February 2024 gap up, and both its 50-day and 200-day moving averages are trending upwards. Universal Stainless & Alloy Products recently experienced a breakout above the March high, but some investors decided to take profits at the $24.50 mark.
On a weekly price chart, Commercial Metals has surpassed all highs from 2023, showcasing a consistent upward trend. Carpenter Tech’s weekly price chart indicates the 50-week moving average crossed above the 200-week moving average in November 2022, a sign of positive momentum. Nucor is breaking out above previous resistance levels from April 2022 and January 2023 on its weekly chart, with a continued upward trend in the 200-week moving average. Reliance Steel is also trending well with both the 50-week and 200-week moving averages showing a steady upward momentum. Universal Stainless & Alloy Products experienced a breakout above the March high, although some investors decided to sell off at the $24.50 mark.
Overall, the steel industry is showing promising signs of growth and popularity among investors, especially with the information technology sector potentially reaching a plateau in its upward price movements. Stocks like Commercial Metals, Carpenter Tech, Nucor, Reliance Steel, and Universal Stainless & Alloy Products are all showing positive indicators of potential growth and profitability. With the steel industry gaining traction, investors may consider diversifying their portfolios to capitalize on this upward trend. Time will tell if this shift in investor sentiment towards the steel industry will continue and whether these stocks will see further gains in the future.
