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Let's break this rally down into three parts.
Part 1: the rally begins. Prices are extremely oversold at this level attracting speculative money. Like most rallies, it does on longer than anticipated. Note that going into this rally we see extremely heavy volume which -- in retrospect -- was probably a selling climax of sorts.
Part 2: prices sell off in an orderly way, using the 200 day EMA as technical support. Prices form a great example of a bull marker pennant pattern.
Part 3: prices break out of the pennant consolidation pattern and then more through previously established prices. Now we see a very bullish orientation -- prices are above all the EMAs, all the EMAs are moving higher and the shorter EMAs are above the longer EMAs.
