With oil sitting nicely above $100, the drillers are entering the strong season.
The five drillers listed are a good sample of the Canadian Drillers. All are above their 50 DMA.
We can see Precision has been tracking between $8-$10, Ensign between $16- $17 and Trinidad pushed above the $7.50 level in June.
Extreme Coil and Akita have been rising nicely for all of 2013. Akita is well above the $11.50 ceiling it had and Xtreme based below $2 and has now set the stage to keep rising.
The sector looks great here. I don't have a strong reason for oil to be up here, but lets ride the trend. Some of the oil companies really had nice moves today. This is the seasonal strong period for Canadian Oil.
Good Trading,
Greg Schnell, CMT
About the author:
Greg Schnell, CMT, MFTA is Chief Technical Analyst at Osprey Strategic specializing in intermarket and commodities analysis. He is also the co-author of Stock Charts For Dummies (Wiley, 2018). Based in Calgary, Greg is a board member of the Canadian Society of Technical Analysts (CSTA) and the chairman of the CSTA Calgary chapter. He is an active member of both the CMT Association and the International Federation of Technical Analysts (IFTA).
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