Technical patterns as well as solid fundamentals lead us to forecast a rebound of Steel Dynamics security.

The company displays great growth potential and strong profitability. Upward revisions have been made on EPS in a two-year horizon. Net income for the ongoing fiscal year should advance by 70%. Analysts consensus target USD 26.7, which represents a real gain potential.

From a technical viewpoint, Steel Dynamics' shares are back to an important support area at USD 19.2, and also its bullish trend line. The fall registered on recent sessions represents a key entry point to aim a technical rebound with a target price at USD 21.35 and by extension USD 22.8.

According to fundamental and technical analysis, timing seems suitable for buying Steel Dynamics' shares. However a stop-loss order should be placed under the current midterm support.