STEEL Sector downgraded again... Time to buy soon

The Steel companies are struggling again. Goldman sachs just downgraded United States Steel to a SELL.

However, I think this is an over reaction to the global economic slow down.

I guess we have to be careful with making trades in the steel sector. The growth story seems to be intact, but rising raw material cost hurts this sector a great deal.

Buy the vertically integrated companies like US steel X and also the iron ore producers like CLF.

I think this will be good play for the week ahead.