NUE Forecast + Trading Strategies


Bullish Case: Nucor's ongoing investments and positive market outlooks, such as strong institutional holdings and favorable analyst ratings, support potential price growth. The promising trend in steel demand and strategic clean energy initiatives could drive further appreciation.


Bearish Case: Concerns over insider selling, competitive pressures in steel pricing, and potential legal issues could negatively impact stock performance. Elevated near-term implied volatility suggests market uncertainty and potential downside risks.


Potential Outcomes:

1. Earnings beat expectations: 35%.

2. Continued insider selling dampens sentiment: 25%.

3. Legal resolutions boost stock: 20%.

4. Competitive pressures squeeze margins: 20%.


Trading Oracle: Initiate a bullish put credit spread by selling the $160.0 strike put and buying the $155.0 strike put expiring in ~7 days. Leverage high implied volatility and mean-reverting price action for high reward:risk with a probability-of-profit around 72%.


July 14, 2024










Correlated Assets

Assets that tend to move strongly with NUE



BLDR Forecast + Options Trading Strategies   BLDR  Builders Firstsource (0.91)


PLAY Forecast + Options Trading Strategies   PLAY  Dave & Buster's Entertainment (0.89)


CX Forecast + Options Trading Strategies   CX  Cemex S.A.B. De C.V. (0.88)


RS Forecast + Options Trading Strategies   RS  Reliance Steel & Aluminum (0.87)


SHW Forecast + Options Trading Strategies   SHW  Sherwin-Williams (0.87)



Uncorrelated Assets

Assets with little price relationship to NUE



ROKU Forecast + Options Trading Strategies   ROKU  Roku (0.0)


NEE Forecast + Options Trading Strategies   NEE  NextEra Energy (-0.0)


NOG Forecast + Options Trading Strategies   NOG  Northern Oil and Gas (-0.0)


BA Forecast + Options Trading Strategies   BA  Boeing (-0.0)


CNX Forecast + Options Trading Strategies   CNX  CNX Resources (-0.01)



Anticorrelated Assets

Assets that tend to move strongly against NUE



SDOW Forecast + Options Trading Strategies   SDOW  ProShares UltraPro Short Dow30 (-0.75)


DXD Forecast + Options Trading Strategies   DXD  ProShares UltraShort Dow30 (-0.75)


HNRG Forecast + Options Trading Strategies   HNRG  Hallador Energy (-0.75)


RWM Forecast + Options Trading Strategies   RWM  ProShares Trust - ProShares Short Russell2000 (-0.76)


SARK Forecast + Options Trading Strategies   SARK  Tuttle Capital Short Innovation (-0.81)





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