Some IOC technicals out this AM

[Palm]

As some mentioned yesterday technical traders are seeing some good stuff:

"InterOil

InterOil (IOC) is engaged in the exploration and production of oil and gas properties in Papua New Guinea and its surrounding regions. This stock closed up 9.9% at $85.63 in Monday's trading session:

Monday's Volume: 1.42 million
Three-Month Average Volume: 706,811
Volume % Change: 111%

From a technical perspective, IOC exploded higher here right off its 50-day moving average of $78.02 with above-average volume. This move sent shares of IOC into breakout territory, since the stock took out some near-term overhead resistance levels at $79.83 to $84.23. Shares of IOC are now quickly moving within range of triggering another major breakout trade. That trade will hit if IOC manages to take out some key overhead resistance levels at Monday's high of $86.61 and then once it clears more resistance at $89.97 with high volume.

Traders should now look for long-biased trades in IOC as long as it's trending above $85 or $84 and then once it sustains a move or close above those breakout levels with volume that's near or above 706,811 shares. If that breakout hits soon, then IOC will set up to re-test or possibly take out its next major overhead resistance level at its 52-week high at $106.44."

[Palm]

"That trade will hit if IOC manages to take out some key overhead resistance levels at Monday's high of $86.61 and then once it clears more resistance at $89.97 with high volume."

Interesting that as we got to $86.49 approaching the $86.61 resistance the hammer came down pretty hard. Someone doesn't want it breaking out just yet.

[sydbod]

  Interesting that as we got to $86.49 approaching the $86.61 resistance the hammer came down pretty hard. Someone doesn't want it breaking out just yet.

Could it be that around that time the oil price began dropping and the down swing in IOC became overdone due to the momentum of the price movement?

[Palm]

  Interesting that as we got to $86.49 approaching the $86.61 resistance the hammer came down pretty hard. Someone doesn't want it breaking out just yet.

Could it be that around that time the oil price began dropping and the down swing in IOC became overdone due to the momentum of the price movement?

Doubt it. WTI had a high of $107.23 and a low of $107.23 and the high built gradually from the day's low. So the initial "drop" was less than a buck; under 1%