As oil prices keep moving higher, the stocks of many companies in the oil industry have broken out. Shares of Transocean Ltd. (NYSE:RIG) may be next.

In the middle of March, RIG reached levels around $4.65. And when it did, it crashed into a wall of sellers. A steep declined followed. Now RIG is testing resistance around this important level again.

But this time it’s different.

Oil is trading at a much higher level. This makes RIG more valuable because most of its assets are holdings oil.

If crude continues to trend higher, and many analysts think it will, more investors will be buying oil-related stocks. This could cause RIG to break out and make a move higher.