Barring a global exodus from equities on a rotating timezone basis, I want to stay with AK Steel Corp (AKS) for a number of reasons. Purely on a technical basis, so far today, the weakness has not violated the prior pullback low. Secondly, while the emini S&P 500 has come within two-tenths of 1 percent of its prior August 16 low, AKS remains $0.90, or 6.5 percent, above its August 16 low.

It is no surprise to me that AKS exhibits strong relative performance versus the overall S&P index -- and we're looking for the stock to fulfill its upside potential towards 17.00-18.00 after this "swoon" runs its course.

 

Mike Paulenoff is a 26-year veteran of the financial markets and author of MPTrader.com.