Do You Know Volatility?

Hi Shoppers,

Cleveland Cliffs (Ticker: CLF) has had a really nice rally, trading up 82% since Nov. 3.

That’s huge!

I think there may be what looks like a beautiful doji at the top of this uptrend created yesterday:

I will be looking for CLF to trade lower this morning.

If it does for at least an hour, I will be a buyer of the Jan. 27 $20.50 puts:

I think CLF can trade back down to the 200-day moving average at $18.60.

At the very least, these puts should double.

Thanks for Reading … See You Next Tuesday,

Licia Leslie

Licia Leslie

Licia Leslie

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About the Author

Licia Leslie

Licia Leslie

Former CBOE floor trader and CIO at Karman Line Capital. Author of ‘The Option Traders Hedge Fund’ with over 30 years of options trading experience.

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