Stocks: The Good, The Bad and The Ugly

Good steel stocks, Bad banks and more

Good morning,

This week I’m taking the Tuesday Deep Dive even deeper, looking at some of the stocks within key ETFs we explored. We’ll also check in on some of the stocks moving on the Concentrated Equity Buy List, growth stocks that haven’t turned higher, and major healthcare names that have broken down.

Let’s get into it!

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Good steel stocks

STLD: Steel Dynamics

STLD has doubled since the beginning of 2022 and aside from being tactically overbought there’s nothing that suggests the uptrend is at risk. Better to buy on pullbacks, but there sure aren’t many charts out there that look like this right now.

ATI: ATI Inc.

ATI is another steel leader, just two days removed from another 52-week high. Pullbacks to the rising 50-DMA are buyable.

RS: Reliance Steel and Aluminum

RS is the most overbought of these 3 steel leaders, now at 30% above its 200-DMA and overbought on weekly RSI-14. So while its trend is not just good but great, the last month has the stock running a bit too hot.

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Bad banks

MTB: M&T Bank

I called out the regional banks on Tuesday as being a tad weaker than the big banks, but under the surface, things really look worse. M&T Bank is down nearly 8% this week and the weak relative chart says the expectation should be that support breaks sooner rather than later.