Oil drillers - way overdue for a huge bounce
This is a time where all fundamentals about the oversupply of oil, glut, and worsening global economy should be ignored.
It is simply so oversold that it in the near term it will vastly outperform most other assets. There's simply a limit to how low it can get before it bottoms.
No, WTI (USOIL) isn't going to $20 in the near term yet. I do see a possibility of it testing $48~51 range again.
Seadrill Limited (SDRL)
Almost 20% away from the lows made in 2009.
Price have not recover the slightest bit despite oil price recovering recently. Near term target is $9.5 range.
Best of the 3 drillers and current price is a huge bargain here! I am accumulating this at current levels.
Transocean LTD (RIG)
Price recovered 27% from the recent lows.
Not much opportunity unless you're going to hold it for over a year, a recovery to $26 is almost entirely possible. I would wait for a retest of $12 to pick this up.
Diamond Offshore Drilling Inc (DO)
Keep a lookout for $17~19 level for longs. I don't see much demand in this relative to SDRL and RIG yet.
WTI price:
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Good luck :) and have a good trade.
It is simply so oversold that it in the near term it will vastly outperform most other assets. There's simply a limit to how low it can get before it bottoms.
No, WTI (USOIL) isn't going to $20 in the near term yet. I do see a possibility of it testing $48~51 range again.
Seadrill Limited (SDRL)
Almost 20% away from the lows made in 2009.
Price have not recover the slightest bit despite oil price recovering recently. Near term target is $9.5 range.
Best of the 3 drillers and current price is a huge bargain here! I am accumulating this at current levels.
Transocean LTD (RIG)
Price recovered 27% from the recent lows.
Not much opportunity unless you're going to hold it for over a year, a recovery to $26 is almost entirely possible. I would wait for a retest of $12 to pick this up.
Diamond Offshore Drilling Inc (DO)
Keep a lookout for $17~19 level for longs. I don't see much demand in this relative to SDRL and RIG yet.
WTI price:
-----------------------
Good luck :) and have a good trade.
