Steel Stocks Continue To Run

Ever since China announced their PMI data a week ago, steel stocks have been roaring higher. China PMI, reported last Tuesday night, showed growth in China and was better than the markets had feared. Growth in China means commodity demand. In addition, with the U.S. reporting ISM and Non Farm Payrolls at better than expected levels, the markets thinks a double dip recession is now off the table again. Stocks like Cliffs Natural Resources Inc CLF, United States Steel Corporation X and AK Steel Holding Corporation AKS have all been on a rampage higher. While this rally has been tremendous, it may be short lived unless the coming economic data continues to support a recovery. In addition, resistance levels are now looming, note the chart below. Gareth Soloway Chief Market Strategist www.InTheMoneyStocks.com see chart:http://www.inthemoneystocks.com/userfiles/image/AKS09_08_10.jpg