The 2 recent declining lows of the index were accompanied by rising troughs in the RSI and the Stochastics .. a textbook definition of a  positive divergence.  This is a good sign for the bulls.  It's just a sign though, not a reason to buy yet ..  we need to wait for more objective evidence to surface.  Remember that ultimately, only price matters, so all these signs are good to flag us to take a closer look, but we trade the price action.  A break above the downtrend line and the resistance level will be encouraging. It is also reasonable to expect a possible intervening correction that establishes a higher low before the breakout...