With the US indexes starting the week on a positive note, Dry Ships (DRYS) was part of the party.. settling higher by 1.3% @ $3.02. Price structure is offering significant upside across the next few months, first upside target is the $4 level, last seen in early March.
As I was going through my individual stock charts today, DRYS stood out in particular.
DRYS has been beaten down since the spring, having hit a high of $4.37 (March 6th), and then grinding lower.. all the way to $2.78 (April 30'th).
Most notable, we have now have the second higher lower, and the big issue is can DRYS break declining resistance/trend.. which is currently around $3.40.
Watching for increase attention
If DRYS can break to $3.50 - which would be a decisive break, then I have little doubt a LOT of people will start giving DRYS some serious attention.
As ever, DRYS is highly reactive to the BDI, and that has effectively collapsed since the start of the year.
If the BDI can claw back over 1000 this July/August, then DRYS has a fair chance of breaking to the 3.40/50s....
...and if that occurs, then I'd guess there is relatively easy upside to the $4 threshold. Whether DRYS can break last Decembers key high of $5.00.. that is the really intriguing question.
If you believe the market is headed to the sp'2100s later this year, then DRYS will be one to chase higher after it confirms a breakout.
*I have no position, but would consider chasing higher from the $3.50s in late July/early August.