U.S. Steel (X) shares will be in the spotlight to start the week after President Donald Trump on Friday said he plans to 澳洲幸运5官方开奖结果体彩网:double steel and aluminum tariffs to 💦50%.

Addressing a rally at the one of the steel producer’s processing plants in Pennsylvꦇania, the president said the move would help protect American steelworkers and “further secure the steel industry.” Proponents of steel tariffs argue they boost the domestic steel sector and reduce reliance on foreign-made steel, while critics say they raise costs of local manufacturers and reduce innovation within the industry.

Friday’s announcement came after Trump recently gave the gr♏een light to a "partnership" between U༺.S. Steel and Nippon Steel. A $14.1 billᩚᩚᩚᩚᩚᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ⁤⁤⁤⁤ᩚ𒀱ᩚᩚᩚion merger between𒈔 the two steelmakers was originally blocked by the Biden administration in early January due to national security concerns.

U.S. Steel shares have gained 33% over the past two weeks and trade nearly 60%♕ higher since the start of the year as of Friday’s close.

Below, we break down the 澳洲幸运5官方开奖结果体彩网:technicals on U.S. Steel’s chart and identify key pri🌸ce levels that 🗹investors will likely be watching.

Symmetrical Triangle Breakout

Shortly after the 澳洲幸运5官方开奖结果体彩网:50-day moving average (MA) crossed above the 200-day MA to form a bullish 澳洲幸运5官方开奖结果体彩网:golden cross on the chart in late March, U.S. Steel shares consolidated within a 澳洲幸运5官方开奖结果体彩网:symmetrical triangle, indicating a pause♈ in the stock’s uptrend that began in late December.

More recently, the price staged a decisive breakout last month, with strong follow-through buying driving the 澳洲幸运5官方开奖结果体彩网:relative strength index into overbought territory. It’s also worth pointing out the rally has occurred on above-average 澳洲幸运5官方开奖结果体彩网:trading volume, signaling conviction behind the jump.

Let’s apply 澳洲幸运5官方开奖结果体彩网:technical analysis to identify an upside 澳洲幸运5官方开奖结果体彩网:price target amid the potential for further buying and also locate 澳洲幸运5官方开奖结果体彩网:support levels worth monitoring during future retracements.

Measured Move Price Target

To forecast a price target, investors can use the measured move technique, also know by chart watchers as the 澳洲幸运5官方开奖结果体彩网:measuring principle.

When applying the analysis to U.S. Steel’s chart, we calculate the distance of the trend in points that preceded the symmetrical triangle and add that amount to the pattern's breakout area. For instance, we add $16 to $43.75, which projects an upside target of $5ไ9.75, around 11% above Friday’s closing price.

Key Support Levels Worth Monitoring

The first lower level to monitor sits around $46. Retracements to this key area would likely encounter support near the top of the symmetrical triangle, which also closely aligns with a trough that formed on the chart in February last year.

A close below this level could see the shares test support near $43. This location may attract buying interest around the upward sloping 50-day MA and a series of peaks on the chart𓆉 stretching back to April last year.

Finally, a more significant drop in U.S. Steel shares could bring the $36 level into play. Investors may look to 澳洲幸运5官方开奖结果体彩网:accumulate shares in this region near a 澳洲幸运5官方开奖结果体彩网:horizontal line that conne🎃cts multiple troughs that developed on the chart between December 2023 and March this year.

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As of the date this article was written, the author does not own any of the above securities.