During an uptrend when moving averages deviates very far apart of each other,
thats when the bulls are in euphoric state. And sudden price plunge will come out of no way.
Identically, in a downtrend when moving averages deviates far apart of each other,
the investors who are despair feeling the end of the world, and out of the blue..
the Bulls coming in forming the classical textbook "HAMMER"
XCO , one of the O&G stock was battered through out this . and since Mid-sept, the selling frenzy increases, price broke down the channel and again, the bull saviour THOR appear yielding a to push the price right back into the channel bottom support.
SOP says only to buy when price is one tick above the high of 3.01 to confirm that the is
Since is 5x larger than the usual and the channel bottom found support, i reckon price will slowly crawl back to at least 4.4 in few weeks time.