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Re: Liljeff post# 9913

Thursday, 12/06/2012 11:08:52 PM

Thursday, December 06, 2012 11:08:52 PM

Post# of 187251
One of my favorite signals I like to use is RSI divergence. It's not perfect. No signal is perfect, but I've had a lot of luck with this one. It helps to indicate where a bottom is and when a stock has potential to run. I have used it to buy stocks that were trading just like any other day, and then soon after, BOOM, the stock starts moving and all these people show up rambling about how there must have been an insider news leak because the stock did something most people weren't anticipating. Of course, I've seen it NOT work on multiple occasions, too. It DOES NOT mean dilution, bad news, or other factors like lack of interest can't drive the stock down. However, it did keep me from buying back in two weeks ago. So, getting to the point, $TDEY's RSI has positive divergence on the 5, 30, and 60 min chart. I like that. Any good news and this thing will bounce effortlessly.