I am beginning to rethink my opinion of CLF and its ability to grow going forward. The only variable I do not know about is how my
opinion may change again after September, when the markets have all players back working. Is the manipulation we're seeing today because of volume and no buyers, or is it based on fundamentals? I supose we need to have all the players back in the the markets before this is decided. This is just getting to be very old and very sad/sick to watch.
For Buy And Holder's this stock is a stomach upset if you take a bite, but for day/swing/option traders, it's a perfect target still tricky to predict right all the time, but somewhat easy for playing the volatility. I as of now have a long call position. That is no stock but calls expiring next month. I bough Monday at 3:58 EST, if it goes up to around $23 in the next 30 days I have doubled my money, that ain't bad.
That is exactly the large short positions intent --make any and all long positions hopeless on any good news, sector or company, overall positive in the world's use of IO and price and all related. Give up, sell at a loss, even or profit ---but sell. They are good too--safety in their numbers and they can control the float for periods of time to bring this down for no reason or even great news. Summer hours and fewer players(buyers) helps out too. Trigger stops, get out as it is going down and more down every day is their motto
Of course when they shift gears, the flip side will be just as relevant..
This is a good stock with plenty of green shoots. I for one would see tapering of QE as a bullish sign for this stock. If people are going to work and the economy is growing this stock is positioned to take advantage of any growth. It is only a matter of time before this stock rises. I don't know if you want to time it. Maybe just buy and hold on until this time next year. Should be a double from here given a good year of earnings.
imagine -- if the current CLF share price was reflective of "fundamentals", then it would be trading at least at book value.
For now, it is still heavily shorted by tens of millions of shares, and volume is typically low, given we are in the last two weeks of August when most market players aren't even in front of a computer screen.
As I have indicated before, imho, after Labour Day is when the real action will start and we should end up seeing CLF trading at $30+ by the beginning of October, if not sooner.
Q3 ends on September 30, and Q3 earnings will be reported on October 21.
I fully expect a major earnings beat which should then eliminate any remaining shorter-gangs if there are still any in the game by that time.
In response, it wouldn't surprise me to see CLF shares should go back above book value share prices...shorters will become buyers sooner or later.
I agree with most of what you said, which is why I went back in. The markets are aware of the higher IO prices, and what this means to CLF earnings for Q3. They are aware CLF beat Q1 and Q2 earnings, and Q3 could be a blow out. However, CLF now trades below the pop fo Q1 and Q2 earnings.