In my regular note to clients in early April, I was negative on WOR and was anticipating a drop down towards $26. The stock has obviously overextended on the downside due to problems overseas. Looking at the chart now, it appears to me that a valid low is in place. A reversal signal has formed (circled), and we can see the momentum picking up over the last few weeks. This tells me that if you are keen on WOR, you can buy it around current levels. I anticipate an initial rally up towards $27.50 before the stock will find some meaningful resistance.
Any rally up towards $27.50 would be an opportunity to write a covered call as price action is still expected to remain volatile for a number of weeks. A reversal up at those levels could also be a shorting opportunity for CFD traders. Just ensure the stop loss is at the high point of your reversal signal.