Oscillators are most useful and issue their most valid trading signals when their readings diverge from prices. A bullish divergence occurs when prices fall to a new low while an oscillator fails to reach a new low. This situation demonstrates that bears are losing power, and that bulls are ready to control the market again - often a bullish divergence marks the end of a downtrend.
Read more: Divergences, Momentum And Rate Of Change | Investopedia http://www.investopedia.com/articles/trading/04/012804.asp#ixzz4KoRSGOdA
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This is regular bullish divergence..Divergences fall into 2 groups. Regular and Hidden.. This definition is for a reversal (Regulars are for reversals) .. Hidden divergence is for continuation. I understand your confusion because i have been there too .