Loading ...Energy – Offshore Drilling Contractors
Again, I really like the energy space here and I think many of the deep offshore drillers got overly punished (massive capitulation) late last year and into early 2016 which is simply opportunity in my eyes. The charts are really shaping up now. ATW is great example:
I agree the offshore drillers particularly were severely “kneecapped” and may provide opportunity. However, myself I am sitting this one out mainly because I am not comfortable with the fact that there are still armies of investors out there who want to be long this sector as th bottom must be in. Not quite as many as were around in the last false bottom of Feb-May 2015 but I prefer to see this crowd whittled down and stop looking for a bottom. Kinda like we finally got in the gold sector last fall.
We may have further to go in the oil patch $60 maybe? But, I like to see those ideal bottoming conditions first