Possible Bearish Inside Day Candle Pattern Detected for Transocean (NYSE:RIG)
SmarTrend's candlestick scanner has spotted a possible bearish inside day candle pattern in Transocean (NYSE:RIG) based on the price action in the company's shares. Today's price range of $12.16 and $12.69 is within yesterday's high and low of the day. This trading action often signifies indecision by bulls and bears to drive prices higher or lower and often implies a possible change in trend. Owners of Transocean may want to consider a possible hedge in the event a pullback occurs. Look for confirmation in the next few trading days.
Transocean (NYSE:RIG) defies analysts with a current price ($12.21) 2.9% above its average consensus price target of $11.86. Transocean shares should encounter resistance at the 200-day moving average (MA) of $12.30 and support at the 50-day MA of $10.08.
Transocean Ltd. is an offshore drilling contractor. The Company owns or operates mobile offshore drilling units, inland drilling barges, and other assets utilized in the support of offshore drilling activities worldwide. Transocean specializes in technically demanding segments of the offshore drilling business, including deepwater and harsh environment drilling services.
Over the past year, Transocean has traded in a range of $7.67 to $21.90 and is now at $12.21, 59% above that low. Over the last five market days, the 200-day moving average (MA) has gone down 0.5% while the 50-day MA has advanced 1.6%.
SmarTrend recommended that subscribers consider buying shares of Transocean on June 7th, 2016 as our proprietary SmarTrend analytics indicated a new Uptrend was in progress when shares hit $11.20. Since that recommendation, shares of Transocean have risen 13.9%. We continue to monitor RIG for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.
Keywords: bearish inside day candle Transocean