Buying and trading beaten-down oil services stocks is like trying to catch a falling knife that has gone through the floor. This may just be the right time to do so because crude oil is trying to confirm its Jan. 20 low as a tradable bottom.

Oils services stocks Diamond Offshore (DO - Get Report) , McDermott (MDR - Get Report) , Noble Corp. (NE - Get Report) , Transocean (RIG - Get Report) and Tidewater (TDW - Get Report) continue to trade below their late-2008 or early-2009 lows, and three are trading at 20-year lows.

Tidewater reported a smaller-than expected loss Feb. 2. The stock traded to its lowest low in at least 20 years of $4.24 on Feb. 3 and ended the week at $5.90, up 39.2% from the low. Last week ended with a weekly "key reversal" for the stock. A "key reversal" occurs when a stock trades to a new low during the week, then ends the week above the prior week's high, which was $5.88.

Noble reported earnings on Feb. 3 and missed by 6 cents, earning 52 cents a share. The stock traded to its lowest low in at least 20 years of $6.70 on Feb. 3 and ended the week at $8.51, up 27% from the low. Last week ended as a weekly "key reversal" for the stock, with the close above the prior week's high of $7.98.

Diamond Offshore reports earnings Monday before the open and analysts expect the company to earn 53 cents a share. Shares of Diamond have been on the rise since setting since setting a 20-year low of $14.18 on Jan. 20, the day that crude oil bottomed. The stock ended last week at $18.85 up 32.9% above the low.

Transocean is scheduled to report earnings on Feb. 24 and analysts expect the company to earn 74 cents a share. The stock traded to its lowest low in at least 20 years of $8.50 on Feb. 3 and ended the week at $10.28, up 20.9% from the low. Last week did not end with a weekly "key reversal" as the close was below the prior week's high of $10.45, but the week's high was $10.83.

McDermott is scheduled to report earnings on March 7 and is expected to report a loss of 14 cents a share. Shares of McDermott have been on the rise since setting since setting a multiyear low of $2.20 on Jan. 20, the day that crude oil bottomed. The stock is considered an "option on survival" and ended last week at $2.70 up 22.7% above the low.

Here's the scorecard for these five oil services stocks.

The weekly charts shown below are mixed. The red line through the weekly price bars is the key weekly moving average (a 5-week modified moving average). The green line is the 200-week simple moving average considered the "reversion to the mean". The study in red along the bottom of the chart is weekly momentum (a 12x3x3 weekly slow stochastic), which scales between 00.00 and 100.00, where readings above 80.00 indicates overbought and readings below 20.00 indicates oversold. A negative weekly chart shows the stock below its key weekly moving average with weekly momentum declining below 80.00 in a trend towards 20.00.

Here's the weekly chart for Diamond Offshore.


Courtesy of MetaStock Xenith

Diamond Offshore will have a positive weekly chart if the stock closes on Friday above its key weekly moving average of $19.07. The weekly momentum reading ended last week at 32.69 up from 29.00 on Jan. 29.

Investors looking to buy Diamond Offshore should place a good till canceled limit order to purchase the stock if it drops to $16.64, which is a key level on technical charts until the end of this week.

Investors looking to reduce holdings should place a good till canceled limit order to sell the stock if it rises to $23.36, which is the stock's 200-week simple moving average.

Here's the weekly chart for McDermott.


Courtesy of MetaStock Xenith

McDermott has a negative but oversold weekly chart with the stock below its key weekly moving average of $3.14. The weekly momentum reading ended last week at 11.80 up from 10.30 on Jan. 29 with both readings well below the oversold threshold of 20.00.

Investors looking to buy McDermott should place a good till canceled limit order to purchase the stock if it drops to $2.39, which is a key level on technical charts until the end of June.

Investors looking to reduce holdings should place a good till canceled limit order to sell the stock if it rises to $7.46, which is the 200-week simple moving average.

Here's the weekly chart for Noble Corp.


Courtesy of MetaStock Xenith

Noble has a negative but oversold weekly chart with the stock below its key weekly moving average of $9.29, with its weekly momentum reading off 11.71 up from 10.06 with both below the oversold threshold of 20.00.

Investors looking to buy Noble should place a good till canceled limit order to purchase the stock if it drops to $6.39, which is a key level on technical charts until the end of February.

Investors looking to reduce holdings should place a good till canceled limit order to sell the stock if it rises to $19.55, which is a key level on technical charts until the end of June.

Here's the weekly chart for Transocean.


Courtesy of MetaStock Xenith

Transocean has a negative but oversold weekly chart with the stock below its key weekly moving average of $11.23 and with its weekly momentum reading at 15.99 up from 12.80 on Jan. 29 with both readings below the oversold threshold of 20.00.

Investors looking to buy Transocean should place a good till canceled limit order to purchase the stock if it drops to $9.06, which is a key level on technical charts until the end of this week.

Investors looking to reduce holdings should place a good till canceled limit order to sell the stock if it rises to $35.99, which is the 200-week simple moving average.

Here's the weekly chart for Tidewater.


Courtesy of MetaStock Xenith

Tidewater has a negative but oversold weekly chart with the stock below its key weekly moving average of $6.63. Its weekly momentum reading ended last week at 10.47 up from 7.84 on Jan. 29, both readings well below the oversold threshold of 20.00.

Investors looking to buy Tidewater should place a good till canceled limit order to purchase the stock if it drops to $4.04, which is a key level on technical charts until the end of this week.

Investors looking to reduce holdings should place a good till canceled limit order to sell the stock if it rises to $21.06, which is a key level on technical charts until the end of 2016.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.