RIG for a possible short

Wiesman, I attached my hourly chart of RIG. If it can get over the descending orange trend line, the 66 area should act as a magnet. RIG is a stock on my daily watchlist, and I am mostly a day trader. I do think it is important that it holds the 61 level, and if it were to setup there this week, I will definitely be looking to short it; however, if it gets over the trendline, then I'm with you and will be looking to trade it long to the 66 area, or even a breakout at 66.

http://independent-trader-ken.blogspot.com/
 

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It does appear to me the short term is downward. Reasons are (see attached chart)

price passes down through the fast MA and volume average is shrinking.

If the slow MA holds, trendline should hold... somewhere around 58.50... that could set up a new upward move.

Just my thoughts.

Jacob

PS: My first post... hope I am following all the rules.
 

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A friend of mine works for RIG. They have a lot of rigs parked until the moratorium is lifted. I suppose that should be priced in... but you know that has to be killing their cash flow.

I will be watching ..... if you do get the short..... what is your exit?

Jacob
 
Nice move up off the 62 area this morning, even when the market was selling at the open. It has now taken out the downtrend line on the hourly chart. This one is probably on its way back up to the 66 area. I'll keep watching today to see if a tradeable setup such as a bull flag develops on the intra time frames. Could see it getting up to the 64.5 area today if this strong volume continues.

http://independent-trader-ken.blogspot.com/
 

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