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#1 – Diamond Offshore Drilling (DO)

Worldwide offshore oil and gas drilling contractor Diamond Offshore Drilling (DO) has formed a massive bottom known as a cup-and-handle — a very bullish formation — coupled with a gold cross (also bullish), and recently flashed a buy signal from the Moving Average Convergence/Divergence (MACD) indicator.

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In order for DO to make the final breakout, it must penetrate the triple-top at $94.50. If it can do it, the price objective is at least $110 with a longer-term goal of $150. DO pays a dividend of $8 per share, giving it a dividend yield of 8.8%.

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