Equipment Check:

The drillers continue to be my preferred group if one is itching to enter this nascent energy move higher. Will the second half of 2023 be when the group sees some tailwinds? Of course, no one could be sure of that but as always you want to purchase best-in-breed names if you are making a bet on the space. Akin to playing your all-stars if you want to win a ballgame. You do not put forth your Triple AAA players. While the larger names tend to dominate the headlines in the services arena with SLB and HAL being 21 and 28% off their most recent 52-week highs, the chart below of WFRD is just 11% off its annual peak (do not write off BORR which is drilling in on a 7.72 cup with handle pivot, pun intended). Its WEEKLY chart sports a bull flag which began with a bullish morning star pattern completed the week ending 7/29/22 that witnessed the stock accelerate higher by more than 30%. The daily chart here does show a move above a double bottom pivot of 61.69, and look for a potential move back to the round 70 number in the near term where it was soundly rejected on 3/7 with a bearish engulfing candle.

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