Cliffs Natural Resources

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Nearest Resistance: $22
Nearest Support: $20
Catalyst: Earnings Beat

>>5 Rocket Stocks to Buy as Stocks Bounce

On the other side of the spectrum is Cliffs Natural Resources ( CLF). Cliffs is up nearly 18% as I write today, buoyed by an earnings announcement that trounced Wall Street's bearish expectations. Cliffs earned 66 cents per share in the first quarter, besting the consensus estimate of 32 cents. While commodity-driven names like Cliffs have been under significant pressure in the last half year, CLF managed to pull off a good recovery this quarter -- and the price action points to more upside ahead.

The move higher today in CLF is pushing shares right up against an important resisatnce level at $22. In the past, there's been enough selling pressure at that $22 level to absorb any bids getting tossed around by buyers. If shares can print above that price this time around, traders should take it as a buy signal. Keep a close eye on CLF this week.

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