Jim Cramer talked about Nucor (NUE) , the steel maker, during Monday's Mad Money program. Let's check on the charts.
In this daily bar chart of NUE, below, we can see that prices made a quick upside reversal in the middle of July. Prices are making a new high for the move up. NUE is trading above the rising 50-day moving average line, and above the bullish 200-day average line. The daily On-Balance-Volume (OBV) line is rising -- and that tells us that buyers of NUE have been more aggressive. The Moving Average Convergence Divergence (MACD) oscillator crossed back above the zero line this month for a new outright-buy signal.
In this weekly Japanese candlestick chart of NUE, below, we see a positive-looking picture. Prices are in a longer-term uptrend above the rising 40-week moving average line. The weekly OBV line is bullish and shows a new high for the move up to confirm the price gains. The MACD oscillator has narrowed and is close to a bullish crossover and new buy signal.
In this daily Point and Figure chart of NUE, below, we see a new high for the move up and a potential $143 price target.
In this weekly Point and Figure chart of NUE, below, we can see a $159 price objective.
Bottom line strategy: Traders could go long NUE at current levels, risking to $99. The $143 area is our first price target with $159 a secondary target.
(Nucor is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells NUE? Learn more now.)
