I think short term headwinds are going to drag this great stock down. i am selling out my long term postiton on monday and going to establish a short with a price target of 14.00 I wish the market conditons where better but no luck. the large option vol for nov 28 call is just a hedge fund rolling out a bear bet. only time will tell how this great stock will do. i only wish i sold out at 24 a few days ago.
Look at the 10 day chart on all of them, and they are similar. If CLF was the only one to go down I would be worried. Also, and most importantly:
1. CLF stock price on wednesday at $24 was so far ahead of max pain in options for options expiration at $22, they were going to do everything possible to bring it down.
2. I hold 6 stocks that were also well ahead of max pain, and they got those knocked down alos.
3. The VIX on Firday barely budged. Fear was not in the markets. All sotcks on all indexws got clocked. I wonder if this was orchestraed for options exp.
I think that the Fed's move not to move shocked everyone, The stock price gains that followed were not priced in. IMO they took eveything down on Thursday and Friday for opt exp., mostly based on a VIX that was low and stayed low all day on Friday.
The massive number of Nov $28 calls reported a few days ago is likely the right direction for CLF.