[isatrader]

Now, a possible approach could be to try an entry on a very limited number of stocks, going on those who have the best RS.

Knot Offshore Partners and Transmontaigne are probably the ones with the best shape and RS that I have in my screener (for now). It's worth noting that the stocks didn't experience a such strong bear trend as other stocks, and also especially that it didn't suffer to much from the recent Brent correction.

I personally couldn't trade either of those, as their daily volumes are far too low, with both having an average volume under 100k a day. So they'd be immediately discounted, as I will only trade US stocks with average volumes over 1 million a day. But ideally much more as they move into Stage 2.

Also Knot Offshore Partners (KNOT) is not in the sector that I was talking about, as it is in the Marine Transportation Sector, which is Industrial, as they operate and acquire shuttle tankers under long-term charters. So that was the weakest sector of the last month in the entire US market overall.

The sectors I was referring to were:
$DJUSOS - Exploration & Production http://stockcharts.com/freecharts/sector...#&S=P1&O=2
$DJUSPL - Pipelines http://stockcharts.com/freecharts/sector...#&S=P1&O=2
$DJUSOI - Oil Equipment & Services http://stockcharts.com/freecharts/sector...#&S=P1&O=2
$DJUSOL - Integrated Oil & Gas http://stockcharts.com/freecharts/sector...#&S=P1&O=2

And as you'll see if you go through the charts in these sectors, there is huge number in Stage 1 ranges, with some early leaders breaking out or already in Stage 2.