Update: as you can see from the chart below, X did return to the breakout level (31.19) and bounced nicely. However, it has since broken down back below. I’m not that troubled by this event because it’s tracing out a very nice 3 wave corrective move that has, as of this blog post, completed. Additionally, if you look below you’ll see that the trend line it’s sitting on has to hold. If break below current levels or below 22, then the thesis that X has begun a big bull run is in doubt. IMHO – this is the best chance at current levels or down to 22 to try and potentially ride the next run higher.
US Steel – X has gone back to the neckline. Anywhere in the zone of 27-21 should begin another advance. Am wrong if we get a daily close below the red trend line.
CLIFF NOTES: believe this breakout in X is real and it “should” come back down to highlighted areas for another BUY.