AKS: Rallied over 2% yesterday on a slight above average volume. It remains in its first tight range of 7.48-7.11 which has formed over the last few weeks. If AKS rallies further a break above 7.48 should push it to to 7.73 or a 5%+ jump. 7.73 is the top of a bigger range which starts from March this range is from 7.73 to 7.11. A break of this resistance level would send ASK to 8.00. This is the last and final resistance level is 8 which was the base level for AKS before it dropped to its lows this year. AKS has a decent short interest as well with short-interest being nearly 30%. The catalyst to get this stock going might already occurred as Barclays reiterated it as overweight and set a price target of $13. Of course this can also be bad for the stock since the big house analyst or usually wrong- see 2008 Lehman call.
The way AKS is set up it allows you to set nice targets and stops for your trades, if ASK gets above one resistance level this is your new stop, it if can’t you don’t go long since it means it will remain in its range.
