Stock Of The Day: When Will Nucor's Selloff Hit Bottom?

Company Overview - Nucor Corporation's shares are experiencing a decline, with a drop of more than 5% noted on Thursday and continuing into Friday [1][2]. Industry Analysis - UBS has downgraded Nucor and other steel companies, including Commercial Metals Company and Steel Dynamics, indicating a shift from Buy to Neutral for Nucor and Steel Dynamics, and from Buy to Sell for Commercial Metals [2]. - The entire steel industry has been downgraded by UBS, citing a less compelling risk-reward profile that is now more balanced [2]. Technical Analysis - The stock has found support around the $130 level, which had previously served as support in January and May 2023 [3]. - Successful traders recognize that price levels that have previously acted as support often continue to do so due to psychological factors among investors [4][5]. - The phenomenon of seller's remorse can maintain support levels, while nervous buyers can lead to price rallies as they compete to purchase shares [5].