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    October 3, 2019

    Hot Rolled Futures: Seeking Support After Breaking Below $535

    Written by David Feldstein

    The following article discussing the global ferrous derivatives markets was written by David Feldstein. As an independent steel market analyst, advisor and trader, we believe he provides insightful commentary and trading ideas to our readers. Note that Steel Market Update does not take any positions on HRC or scrap trading, and any recommendations or comments made by David Feldstein are his opinions and not those of SMU or the CRU Group. We recommend that anyone interested in trading steel futures enlist the help of a licensed broker or bank.

    The September ISM Manufacturing PMI fell to 47.8 with the new orders sub-index at 47.3 and the backlog sub-index at 45.1. One could characterize this data as dog meat. That’s right, it’s downright awful, but that might be good news. Steel is a commodity and subject to cycles and mean reversion. It’s been a long year and many in the space probably feel like Rocky did at the final round of his first fight with Apollo Creed, but remember Rocky’s goal was simply to go the distance. Winter is coming and hopefully this bear market is heading into hibernation. While there is have been plenty of disappointing economic and fundamental data points released, some are starting to indicate better days ahead.

    David Feldstein, SMU Contributor

    David Feldstein

    SMU Contributor David Feldstein is president of Rock Trading Advisors. David has over 20 years of financial market trading experience and has been active in the ferrous futures space since 2012. Feldstein earned an MBA from the University of Chicago Booth School of Business with concentrations in economics, statistics and analytical finance. He can be reached at davefeldstein@gmail.com.

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