X Divergence

X, after months on the downtrend,finally showed a bullish divergence. Its been on a buy-back program since last year. What I learned about buy-back program is that you have to watch the transactions with an eagle eye every now and then and look for the huge amount of cross or “pasaload” to appear. Cause by then,it’s very likely that the program has already come to an end and that would mean a possible reversal. Pic such as below is a good example. It is the actual screenshot of the transaction of X at the closing today. Look at that cross by Doyts,that’s what we are here for.

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But,could that really guarantee us the much-awaited reversal for X? I don’t know,I’m just a newbie! But if you look at the chart,there is something interesting happened,the bullish divergence where RSI started to point up which coincides perfectly just when the cross by Doyts happened. Today’s RSI must be the trough unless negated. Now that’s something to look forward to! It wouldn’t hurt to do a test buy near the support at 7.11 or near today’s closing price while not forgetting to set the stoploss just in case the unexpected happens. Double bottom at the support,by the way.

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