Oilin’ It Up

Oil service stocks are shaping up into some nice setups during this choppy
market, as the Oil Service Index
(
OSX.X |
Quote |
Chart |
News |
PowerRating)
is rebounding off its
50-day moving average and breaking the right shoulder of a head and shoulders
pattern. Often failures like these can be a precursor to a fast move in the near
future, or at least a test of the prior high. 

 

Cross Timbers Oil
(
XTO |
Quote |
Chart |
News |
PowerRating)
looks strong, poised to break
out of a cup and handle after rallying out of a Bow
Tie.

 

 

Smith International
(
SII |
Quote |
Chart |
News |
PowerRating)
is rebounding off its
50-day moving average and tracing out a pattern nearly identical to the chart of
the OSX, and finally, BJ Services
(
BJS |
Quote |
Chart |
News |
PowerRating)
is challenging the top of its
recent trading range after bouncing from the bottom of the range and a 38.2%
retracement level.

 

See ya tomorrow,

Duke