High Probability Bullish Signals Generated on Two Steel Companies
Base metals have been rallying sharply over the last three months and a number of stocks in the industry have seen huge gains. Steel prices have been rising and it has taken steel stocks higher with it. The stocks have seen small pullbacks in the last month and that may be creating a buying opportunity.
On December 29, Tickeron’s A.I.dvisor generated bullish signals on two steel companies and the confidence levels of those two signals were extremely high. The AI trend prediction tool generated a bullish signal on Nucor Corp. (NUE) and on US Steel (X). The confidence level for the Nucor signal was 90% and the confidence level on the signal for US Steel was 88%. These signals are for the next month.
Looking at the daily charts for the two stocks we see very different paths higher. For Nucor, the rally has been pretty consistent since the low in March, and it has been even more consistent in the last five months with a trend channel forming. The stock has just bounced off of the lower rail of the channel and support at its 50-day moving average.
We also see that the daily stochastic indicators are in oversold territory and are in the process of making a bullish crossover.
US Steel’s chart isn’t quite as consistent. We see that the stock rallied from March through mid-June before falling. From late June through mid-September the stock was range bound. The stock really took off though and from late September through early December it gained over 190%. The stock peaked at $20 on December 9 and then pulled back for a few weeks.
We see that the pullback in US Steel caused its daily stochastic indicators to drop sharply and they went from overbought to oversold. The indicators, like we saw with Nucor, are in the process of making a bullish crossover.
I have to be honest, these signals are based almost exclusively on technical factors because neither of the companies have very good fundamental ratings. On the Tickeron Fundamental Analysis Screener, Nucor has two positive indicators and two negative indicators with three neutral readings. US Steel only has one positive indicator and one neutral indicator, the other five are negative readings.
The Tickeron scorecard gives both stocks a “sell” rating, but the scorecard ratings are looking out beyond the next month and they rely on fundamental factors more heavily. The one fundamental indicator where both companies receive a positive reading is the Valuation Rating. Nucor scores an 8 and US Steel scores a 27.
The comparison feature from Tickeron shows how the companies compare to one another and how they stack up against other stacks based on the scores from both the fundamental indicators and the technical indicators.
Aroon Indicator for X shows an upward move is likely
X's Aroon Indicator triggered a bullish signal on June 17, 2025. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 261 similar instances where the Aroon Indicator showed a similar pattern. In of the 261 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 16, 2025. You may want to consider a long position or call options on X as a result. In of 83 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Bearish Trend Analysis
The 10-day RSI Indicator for X moved out of overbought territory on June 13, 2025. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 44 similar instances where the indicator moved out of overbought territory. In of the 44 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
The Moving Average Convergence Divergence Histogram (MACD) for X turned negative on June 13, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 53 similar instances when the indicator turned negative. In of the 53 cases the stock turned lower in the days that followed. This puts the odds of success at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where X declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
X broke above its upper Bollinger Band on June 16, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 68, placing this stock better than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. X’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.105) is normal, around the industry mean (1.197). P/E Ratio (148.216) is within average values for comparable stocks, (81.443). X's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.989). X has a moderately low Dividend Yield (0.004) as compared to the industry average of (0.047). P/S Ratio (0.890) is also within normal values, averaging (2.079).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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General Information
a manufacture of integrated steel products
Industry Steel
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