Despite the main market closing on a somewhat weak note, Transocean (RIG) managed a second day higher, closing +1.1% @ $49.29. There is strong declining resistance for Monday in the mid 49s. If RIG can break into the 50s, a new up cycle would be confirmed.
Wednesday was indeed a rough day for RIG, and with the loss of the 200 day MA, RIG was whacked into the low 48s.
Yet, RIG now appears to have stabilised, and is making a renewed push higher. Friday's close was especially bullish, in the face of the main indexes which all closed moderately lower.
For next Monday, and indeed the week, RIG merely needs to put in a few consecutive daily closes in the $50s. If that is done, then the door is open to much higher levels. at least a test of the recent high of the $55s - which is a clear 10% higher from current levels.
*I'm not currently long RIG (bailed a week ago at $52), but am long MRO. Both RIG and MRO should trade somewhat similar next week.