RIG - Transocean, Inc. (NYSE Stock)

[BadThad]

Holy morning profit taking! LOL

Dropped from $50 to $48 in the first 3 minutes.....it will consolidate and move back above $50....I feel it coming now.

[BadThad]

Transocean wins praise for court ruling, shares up
8:31a ET January 27, 2012 (MarketWatch) NEW YORK (MarketWatch) -- Transocean Ltd. jumped 7% in premarket trades on Friday after a federal judge ruled that the oil service firm contract with BP PLC [S: bp] won't require it to pay compensatory damages linked to the 2010 Gulf of Mexico spill. Transocean is not protected from punitive damages or civil penalties under the Clean Water act, the judge said. "This is clearly a strong outcome for RIG," Barclays Capital analyst Harry Mateer said in a note to clients. "Although RIG remains exposed to punitive damages and Clean Water Act fines, we are more concerned about the latter than the former, given our view that gross negligence is an unlikely outcome."

[BadThad]

Shares of Transocean Ltd. (RIG, $47.89, +$0.63, +1.33%) (RIGN.VX) rose after a U.S. federal judge ruled Thursday that BP PLC (BP, $43.89, -$0.88, -1.97%) (BP.LN) must indemnify the oilfield-services firm against compensatory damages linked to the 2010 Gulf of Mexico spill. However, the judge also said BP wouldn't have to protect Transocean from punitive damages or civil penalties under the Clean Water act. The news boosted Halliburton Co.'s (HAL, $37.11, +$0.95, +2.63%) stock, as investors are assuming that the decision, which would significantly reduce Transocean's potential disbursements in the Deepwater Horizon legal fight, could apply to Halliburton as well.

[BadThad]

Published on Fri, 01/27/2012 - 17:40
By FNNO Staff in News corner, RIG, nyse:rig, transocean

Moody's said it believes the court order regarding the partial summary judgment in the Deepwater Horizon case is credit negative for Transocean (NYSE:RIG). The Court ruled that Transocean would be protected under the contract indemnity agreement for claims for compensation by third parties.

While this is positive for Transocean, Moody's said, the Court also ruled that the company would not be indemnified for any punitive damages or for any civil penalties and fines assessed, if any, under the Clean Water Act. Moody's believes up to $10 billion of debt is affected. Transocean's ratings remain on review for a possible downgrade at Moody's.

Transocean (NYSE:RIG) has potential upside of 22.2% based on a current price of $48.13 and an average consensus analyst price target of $58.79.

Transocean is currently above its 50-day moving average (MA) of $42.87 and should find resistance at its 200-day MA of $55.65.

In the last five trading sessions, the 50-day MA has fallen 0.72% while the 200-day MA has slid 1.21%.

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.

http://www.moodys.com/research/Moody...ean--PR_236319

[BadThad]

Stock pulled back today on the greater energy sector move down. This is a healthy little correction that will ultimately help propel this stock past the $49.72 resistance.

[BadThad]

Pull back did seem to help, stock is back to dealing with the resistance point.

Current stock price: $48.39 (up over 2%)

[BadThad]

Looks like we'll be banging on the door of the $49 resistance again soon.

Current stock price: $48.82 (up +1.2%)

[BadThad]

At resistance! We need it to poke through!

Current stock price: $49.58

[BadThad]

The resistance battle continues today. It's turning into a good text book case. New traders should study the RIG chart to understand the concept because it's holding very true for this stock.

http://www.stockconsultant.com/consu...cgi?symbol=rig

IMO, RIG is an excellent buy below $50 as I've said many times in this thread. By July I'll be saying "told ya so".

Current stock price: $49.09

[BadThad]

Broke resistance this morning! YAY!

Current stock price: $50.32