RIG, SDRL - drillers under pressure

With Oil negating much of the powerful Tuesday gains, the oil/gas drillers were under considerable downward pressure. Transocean (RIG), and Seadrill (SDRL) settled lower by -3.0% and -3.2% respectively. Near term outlook is weak, but mid term is now bullish.


RIG, daily

SDLR, daily

Summary

Suffice to add, not a great day for most energy stocks (as oil was lower by around -3.8%), but then, all have massively rallied since the BREXIT low, and more so.. the Jan/Feb' lows.

In terms of 'survival', RIG looks secure. However, SDRL still looks somewhat vulnerable, and remains lower by a monstrous -92% since the June 2014 high of $39.35.


The bigger monthly charts for some perspective...

RIG

SDRL

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RIG looks an interesting long, once oil stabilises somewhere above $40.