Chart of the Day - Friday, March 3rd, 2023

Today's Chart of the Day was shared on Twitter by Steve Strazza (@sstrazza). It's a weekly candlestick chart of the Steel ETF, $SLX, over the past 13 years. The largest holdings in $SLX include; $VALE, $RIO, $NUE, $TX, and $CLF. Steve points out that $SLX is breaking out to its highest level since 2011 on a weekly basis. It's built a 2-year base on top of an even bigger base, forming what resembles a long-term Cup & Handle Pattern. If stocks are in a new bull market, it would make sense to see new leaders. Commodity-related stocks might not be as sexy as the Technology stocks that led during the prior bull market. However, they're showing impressive relative strength and they're one of the few areas that are breaking out to multi-year highs.