Trade Of The Week: CLF

Options Portfolio Manager – Investors Alley • Jun 6, 2023 at 1:23 PM EDT

For investors who follow steel stocks, there may be some good news on the horizon.

For investors who follow steel stocks, there may be some good news on the horizon. Steel companies have taken a hit in recent months, including Cleveland-Cliffs (CLF), which is down 14% year-to-date.

However, a trader purchased what appears to be a bullish call spread in CLF options that expires in August. This 10,000-lot vertical spread could suggest there is as much as 30% upside in the stock price during the coming summer months.

To watch the video, click here. (Running length 00:03:21)

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