This is an impressive reversal from the extremely negative way the stock began this week. On Monday's open, Diamond Offshore was at new 52-week lows and was undergoing its fourth straight day of heavy distribution. Since then the stock has gained more than 20% as investors aggressively bid up the stock. By today's settle, it will record its fourth straight session of well-above-average upside trade.
Diamond Offshore held in well near key support at its July low, even after the ugly downside on Monday morning. As shares continued to attract buyers since Monday, a significant bottom now appears to be in place.