CLF Cleveland-Cliffs Options Ahead of EarningsAnalyzing the options chain and the chart patterns of CLF Cleveland-Cliffs prior to the earnings report this week,
I would consider purchasing the 14usd strike price Calls with
an expiration date of 2023-11-17,
for a premium of approximately $1.29.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
Cliffs
8/24/22 CLFCleveland-Cliffs Inc. ( NYSE:CLF )
Sector: Non-Energy Minerals (Steel)
Current Price: $18.24
Breakout Price: $19.00
Buy Zone (Top/Bottom Range): $18.00-$16.00
Price Target: $21.50-$22.00 (1st), $24.00-$24.40 (2nd)
Estimated Duration to Target: 34-37d (1st), 60-65d (2nd)
Contract of Interest: $CLF 9/23/22 20c, $CLF 10/21/22
Trade price as of publish date: $0.54/contract, $1.05/contract
10/24/21 CLFCleveland-Cliffs Inc. ( NYSE:CLF )
Sector: Non-Energy Minerals (Steel)
Current Price: $23.85
Breakout price trigger: $22.45 (hold above)
Buy Zone (Top/Bottom Range): $23.40-$21.80
Price Target: $28.00-$28.60
Estimated Duration to Target: 28-31d
Contract of Interest: $CLF 11/19/21 24c
Trade price as of publish date: $1.30/cnt
PT 26.80 for this cycle.NYSE:CLF
It is just a stopover on a long journey. Going to close my leveraged long position when price reaches 26.80, then wait for a pullback to buy again!
There is a significant open interest on options call 25 expiring at 2021-07-16, so I believe that the price should be at least 25 by that time.
I have noticed that NYSE:CLF is attracting the attention of WSB guys again, so we can expect another pump.
People may want to fix the profit before an earnings report.
Everything fits into price corridor
5 MILLION SHARES, BUYOUT / GOING PRIVATE. VALUE PLAY, STRONG BUYWe have been in and out of Cliffs for a while.
Recently, the stock again popped up on our scanner.
Cliffs is the oldest iron ore company founded in 1847
We did hear a rumor of a possible buyout / merger and even the potential for the company to go Private. If either of these rumors pan out, we think the stock is worth at minimum, $20 all day long!
Currently the stock is trading at an extreme discount to the industry. In fact, J.P. Morgan just raised the price target to $17.00 due to the high demand for Cliffs Iron Ore.
The stock should be trading around $15.00 right now and upwards of $18 to $20 after the next earnings report.
At current levels, Cliffs is a GIFT!
We are currently only holding CLIFFS and 4 other positions. Everything else we've posted and sold has produced us great returns.
Our track record within TradingView speaks loud and clear!
Position: 5 Million Shares
Average Cost: $9.75
LONG