CLR Drops After Shale Production Pause

CLR is currently down over 60% this year

Deputy Editor
Apr 24, 2020 at 10:43 AM
facebook twitter linkedin

The shares of Continental Resources (NYSE:CLR) are down 4% at $12.70, amid news that the company ceased production in North Dakota and closed off most of its wells in the state’s Bakken shale field. Earlier, it was reported that CLR declared force majeure on at least one contract after crude dipped into the negative this week.

Continental Resources stock is feeling pressure at the $14.50 - $15 level, which is also home to CLR's pre-bear gap lows. The descending 50-day moving average is keeping a lid on the shares, too, with CLR now staring at a 62% year-to-date deficit. 

Analysts are all over the board with CLR. Of the 21 covering the equity, six call it a “strong buy,” while two sport a “strong sell.” The remaining 13 say now is the time to “hold.” Additionally, the stock’s consensus 12-month price target of $16.38 is a 23.8% premium to current levels.

In the options pits, CLR sports a 10-day put/call volume ratio of 1.79 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits higher than all but 2% of previous reading from the last 12 months, suggesting a healthier-than-usual appetite for long puts, as of late.


If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!

Schaeffer's Investment Research Stock Pick Report


Special Offers from Schaeffer's Trading Partners