Dex One Corporation (NYSE:DEXO) – Reversal Confirmed

DEXO - Google Finance" href="http://www.google.com/finance?q=NYSE:DEXO">Dex One Corporation DEXO is a stock that I posted about last week when a possible reversal pattern was identified. In my initial post, my stock scanner identified the stock as being oversold.

The chart at the time suggested that a strong reversal pattern was about to unfold – after a long slide, the stock rallied strongly to close on the day's high of $2.01. That was the buy signal. But as I had mentioned in my initial post – that pattern needed to be confirmed by further buying.

The above updated chart now shows that the reversal has been confirmed. Since my initial post there have been two consecutive days of gains and on Friday the stock closed at $2.47.