In his first Executive Decision segment of "Mad Money" Wednesday, host Jim Cramer spoke with Lourenco Goncalves, CEO of Cleveland-Cliffs Inc. (CLF) , a producer of steel and iron ore.
Goncalves said the new economy is no different than the old economy and everything that surrounds us is still built with steel, which is good for Cleveland-Cliffs, a fully integrated and self-sufficient steel producer.
When asked about environmental initiatives, Goncalves said Cleveland-Cliffs is the cleanest steel producer in the world and operates some of the most modern facilities.
Let's check out the charts of CLF again.
We looked at the charts of CLF back on July 26 when it was upgraded by our quantitative service and we wrote, "I find it helpful when more than one investment approach lines up in the same direction. A buy recommendation from our quantitative service helps but I also want to see CLF move up above its July or even its June highs before rejoining the long side."
How do the charts look today?
In this daily bar chart of CLF, below, we can see that in August CLF finally broke out over its June and July highs. Prices are in an uptrend and have been testing the rising 50-day moving average line. The On-Balance-Volume (OBV) line firmed in August but it did not make a new high to confirm the new price high. The trend-following Moving Average Convergence Divergence (MACD) oscillator has turned lower and is close to the zero line, telling us there is not much trend strength.
In this weekly Japanese candlestick chart of CLF, below, we see a more positive picture than the daily chart. Prices are in a longer-term uptrend and trade above the rising 40-week moving average line. Unlike the daily OBV line, the weekly OBV line made a slight new high in August. The weekly MACD oscillator has moved sideways since February, so I would consider it neutral.
In this daily Point and Figure chart of CLF, below, we can see the software is projecting a downside price target in the $19 area.
In this weekly close only Point and Figure chart of CLF, below, we see a bullish price target in the $36 area.