Transocean Reports Solid Earnings, Time to Short?

The same pattern we've seen in many oil service stocks played out in Transocean (RIG) yesterday. Solid earnings. Falling on deaf ears. Due to the mix of ships (they have a lot of shallow drillers who have much higher competition levels) I prefer some other names in the sector in the here and now, but for the long run RIG is bringing on the most supply of deep sea drillers which is where the real money is.

The chart is actually breaking out - unfortunately to the benefit of shorts, not longs. The 50 day moving average ($144) is quickly closing in on the 200 day ($136s) - the last thing you want to see is the 50 day to cross over and below the 200 day. This seems to be the fate unless things change quickly. For now, based on charts alone, this is a stock to be shorted/sold - not bought. In fact a very easy short with a nice stop loss over current resistance areas (I k