CF seems like a superb inventory for name merchants
Subscribers to Schaeffer’s Weekend Dealer choices advice service obtained this CF commentary on Sunday evening, together with an in depth choices commerce advice — together with full entry and exit parameters. Be taught extra about why Weekend Dealer is one among our hottest choices buying and selling companies.
CF Industries Holdings, Inc. (NYSE:CF) inventory’s decrease rail held its connecting Might and January lows, as a confluence of its 20-, 50-, and 200-day shifting averages offered help. The shares are actually above the 160-day trendline, which capped worth motion earlier than and after earnings, and are swinging to the constructive aspect of their year-to-date breakeven degree. Plus, the fairness’s common volume-weighted common worth (VWAP) and one-year level of management (POC) are appearing supportive.
Whereas CF attracted bull notes after the corporate’s quarterly report, there’s nonetheless loads of room for optimism. In actual fact, 13 of the 23 overlaying brokerages nonetheless name the fairness a tepid “maintain” or worse.
Choices are fairly priced, making this a wonderful time to weigh in on CF. The inventory’s Schaeffer’s Volatility Index (SVI) of 28% ranks within the low tenth percentile of its annual vary, which means choices merchants are pricing in low volatility expectations. Our Might name has a leverage ratio of seven.8, and can double in a 13% transfer increased within the underlying shares.
