Nucor plummets on disappointing outlook

Nucor (NUE.US) stock plunged nearly 10.0% on Wednesday after the steel producer issued weak financial guidance for Q3. The company forecasts earnings to be in the range of $6.30 to $6.40 per share compared to $7.28 per share in the third quarter of 2021 and well below a StreetAccount forecast of $7.56. “We expect the steel mills segment earnings to be considerably lower in the third quarter of 2022 as compared to the second quarter of 2022, due to metal margin contraction and reduced shipping volumes,” Nucor said.

Nucor (NUE.US) share price launched today's session lower and broke below key support at $126.60, which is marked with previous price reactions, 200 SMA (red line) and 61.8% Fibonacci retracement of the last upward wave. If sellers manage to uphold current momentum, next support at $109.50 may be at risk. Source: xStation5