Should You Buy Gerdau SA (GGB) Today? Analysis, Price Targets, and 2026 Outlook.
Analysis Updated At
2026/01/28
Not a good buy right now for a beginner long-term investor who wants to enter immediately. The trend is bullish, but the stock is technically overheated (RSI extremely overbought) and sitting at/above near-term resistance, while the latest quarter shows weakening profitability and margins. I would hold off on buying at this exact level and only consider buying on a pullback; at today’s price, it’s more of a HOLD than a BUY.
Technical Analysis
Trend is bullish but stretched. Moving averages are strongly bullish (SMA_5 > SMA_20 > SMA_200), and MACD histogram is positive and expanding (0.0383), confirming upward momentum. However, RSI_6 is 83.65 (overbought), which often precedes short-term cooling/pullbacks. Price (4.60) is above R1 (4.578) and below R2 (4.736), meaning it’s pressing into resistance rather than breaking out cleanly. Key levels: Support S1 ~4.066 (then S2 ~3.908); Resistance R2 ~4.736. From a “buy now” standpoint, the setup is unfavorable because upside is capped by nearby resistance while downside to support is larger.
