Tag Archives: Precision Drilling

Technical Analysis: Precision Drilling (PD:TSX)

Near-term uptrend for Precision Drilling will meet resistance at $11.50
Precision Drilling chart analysis showing the downward sloping trendline and a near-term uptrend.

Precision Drilling Six Month Daily Chart

Precision Drilling reports fourth quarter results for 2011 on Thursday, February 9, 2012.

Reference my chart analysis for Precision Drilling posted October 12, 2011.

Relevant articles picked from the Web:

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

© 2011 TradeOnline.ca

Precision Drilling (PD:TSX) chart analysis

Can Precision Drilling maintain the near-term uptrend?
Candlestick chart analysis for Precision Drilling (PD:TSX) showing the near-term uptrend  with support and resistance levels.

Precision Drilling Candlestick chart

Reference the last chart analysis for Precision Drilling.

Precision Drilling Corporation (“Precision”) intends to release its 2011 third quarter results
before the market opens on Friday, October 21, 2011 and has scheduled a conference call and
webcast to begin promptly at 12:00 Noon MT (2:00 p.m. ET) on the same day.

FP article dated Oct 21, 2011: Precision Drilling earnings surge 48%

Update Friday, Oct 21, 2011: Stock sold-off to the $11.00 level as indicated by a bearish engulfing pattern on the daily chart: sold into the news of the earnings release. Traders who bought the stock at the beginning of the month took profits on the gain from $8.00 to $12.00: a nice profit of 50%.

Update Monday, Oct 24, 2011: Precision Drilling closed at $11.87 today.  The stock pattern may indicate that it will ease into a lateral band between $11.00 and $12.00.  A close above the $12.00 resistance level for two days would be a sign to add to long positions with an intermediate target of $15.00.  If the stock cannot hold the $11.00 level, it would be a sign to liquidate longs.

Update Monday, Oct 31, 2011: Precision Drilling closed at $11.56 today. A tall bearish candlestick (daily candlestick chart) after two spinning tops is not a good omen. Another negative factor is the above average volume today on the sell-off. If the stock cannot hold support at $11.00, the next major test would be the 50% retracement level of around $10.00.

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

© 2011 TradeOnline.ca

Precision Drilling (PD:TSX) chart

Bullish Engulfing Pattern on the daily candlestick chart

Precision Drilling chart analysis showing the bullish engulfing pattern

Precision Drilling Candlestick Cahrt

You can see from the chart that the $12.00 level provided support in the recent sell-off.  The bullish engulfing candlestick pattern confirmed the bottom with above-average volume. You now have a stop-loss point at the major support level of $12.00 and you have near-term and intermediate targets.

Precision Drilling is a stock that can be traded and is in a near-term uptrend.

Reference the previous analysis for Precision Drilling.

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

Precision Drilling (PD:TSX) chart analysis

Bullish white candlestick closes above resistance

Candlestick chart analysis for Precision Drilling showing a bullish white candlestick on above average volume and the confirming indicators of OBV and MACD.

Precision Drilling (PD:TSX) Six-Month Chart

Reference the previous analysis for Precision Drilling.

Precision Drilling Corporation 2011 Second Quarter Results Conference Call and Webcast.

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.

Precision Drilling technical analysis

Precision Drilling (PD:TSX) candlestick chart with a bullish engulfing pattern
Candlestick chart analysis showing a bullish engulfing pattern on the weekly chart with confirming volume.

Precision Drilling (PD:TSX) 2-Year Weekly Chart

Reference the previous chart analysis for Precision Drilling.

Precision Drilling Corporation (“Precision”) intends to release its 2011 first quarter results before the market opens on Tuesday, April 26, 2011 and has scheduled a conference call and webcast to begin promptly at 12:00 Noon MT (2:00 p.m. ET) on the same day.  Analysts expect earnings of 26 cents a share.

April 26, 2011 Update: The Calgary-based concern on Tuesday posted net earnings of $66 million, or 23 cents per share, for the three months ended March 31. That compared with net earnings of $57 million, or 20 cents per share, in the first quarter of 2010.

Candlestick chart for Precision Drilling showing a doji candlestick pattern in reaction to the first quarter results

(PD:TSX) 1-Month Daily

What will be the reaction on the chart to the first quarter results?  That is all that counts.

A doji candlestick (opens and closes at or very near the same level) formed on the daily chart at the end of trading for Tuesday, April 26, 2011. This was the reaction of the market to the first quarter results. It represents indecision and a battle between the bulls and the bears. Considering the recent run-up in the stock price,  the fact that Precision Drilling stock did not sell off on the earnings miss is a positive reaction on the chart. Set alerts at $15.00 and $14.00 and monitor for the development of a consolidation pattern.
Doji candlestick with the opening and closing price at the same level
The doji candlestick has the same opening and closing price.  In the Precision Drilling chart to the right, the doji is part of a consolidation pattern. But, the doji is an important candlestick especially for indicating tops.  As in all technical analysis, you have to look at the total picture before making a decision based on one candlestick formation.  Always look at the price action the next day to corroborate any pricing pattern.

Precision Drilling candlestick chart

Major resistance for Precision Drilling is $14.50
Precision Drilling three month candlestick chart showing a consolidation pattern

Precision Drilling (PD:TSX) 3-Month Daily Candlestick Chart

The most important points from the above chart for Precision Drilling are:

  • The chart is still in a uptrend.
  • There was no follow-through on the Tuesday sell-off.
  • Major resistance on this candlestick chart is $14.50.
  • Major support on the chart is $12.00.

You should maintain a neutral trading strategy at this stage with alerts at $14.00 and $13.00.  A close above $14.00 will indicate a possible attempt to break resistance at $14.50.  You could add to long positions with a close above $14.50 but this depends on the volume and other indicators at the time of the break.  A close below $13.00 would indicate a possible test of support at $12.00.  You would liquidate long positions if the stock closed below $12.00 with the next support test at $10.50.

You can reference the previous chart analysis for Precision Drilling.  Also visit the company website for fundamental data.

Reference  BigChart.com for the most recent one year daily chart.

Update for April 20, 2011: RBC raises Precision Drilling Corp price target to C$16 from C$12.50; rating outperform.

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Note: This technical analysis is for educational purposes so you can learn to trade online using candlestick charts. Please conduct your own chart analysis or consult your financial advisor before making investment decisions. The chart snippets are from BigCharts.com which I recommend and have used for fifteen years. The author of this article may hold long or short positions in the featured stock or index.