So based on that all of the other energy stocks are headed down and staying down too? xom, cvx, mro, cop, bp, etc, etc, etc? When the energy sector turns green again, if dk doesn't also (if it didn't already do so before big oil) then you may have a point, but to say this stock is broken when all energy stocks are lower just does not make sense.
Technical analysis can only take you so far, geopolitical events have a much bigger impact on energy stocks than chart trends. The fundamentals for the company are still there.
All of the conditions that hyped the energy sector up to $78 have disipated (for now) but notice how even the bears do not think we will go back to sub $50 crude, think about it, prices are higher than they have ever been...without any pressure from supply fears. If crude only falls to $65 on all of this "good" news, how high do you think it will go when the next Hurricane enters the Gulf, or the nuclear concern in Iran becomes more serious? (and it will). The possibility of building a base at $65 has got to be very frightening to the speculators once they turn there attention away from current events and put an eye toward the future. Just imagine back at the beginning of the year people being "happy" about only paying $65 crude or "only" $2.50 for a gallon of gas. Doesn't seem like such a deal when you look at it that way does it?