Keith Richards U.S. Steel X-N WATCH Jan 13, 2025

Following the gap a number of weeks ago, this continued to decline, which is not what you want to see. The chart has shown a head and shoulders pattern. This is the type of thing that he tries to avoid.

This is very whippy, and he wouldn’t want you to be overly focused and concentrated in such an idiosyncratic name. Steel names are not his favourite. The chart indicates it has been very challenged. Fundamentally, they have had some earnings misses and are more often missing then they are hitting. There are much greener pastures elsewhere.

CEO optimism has been rising in the U.S. The steel sector and this stock are doing well. In fact, this is one of the leading sectors in America. Certainly take a look at this.

He has no idea to assess Trump and his macro plans. It's a political nightmare. Sell. A tariff would lift US steel stocks, but demand for US products will also drop. Be prudent and let this stock go.

$25 is support and could bounce off this. Sell the July $34 call, collect $1.45 and use that premium to fund your July put.