detect relative local minimum about prometheus

[dwallach1]

Based on the search results, here are the key ways to detect when a stock has reached its bottom after a decline:

1. Look for increased trading volume[1][2][3][4]: When a stock is bottoming out, there are fewer sellers and more buyers willing to purchase the stock at lower prices. This leads to a spike in trading volume, which indicates the selling pressure has been exhausted and the stock is ready to rebound.

2. Monitor the stock's price action relative to its moving averages[2][3]: If the stock's price starts to reclaim and hold above its key moving averages, such as the 20-day or 50-day, it suggests the downtrend is ending and the stock is finding support.

3. Identify bullish divergences in technical indicators[4]: If indicators like the On-Balance Volume (OBV) make a higher low while the price makes a lower low, it signals hidden buying demand and a potential bottom forming.

4. Watch for a "higher low" pattern[3]: If the stock establishes a higher low compared to the previous low, it can indicate the selling pressure is diminishing and the stock is ready to start an uptrend.

5. Consider contrarian sentiment[2][4]: When the general market sentiment is extremely negative on a stock, it can be a sign that the selling has been overdone and the stock is ready to rebound, going against the crowd.

The key is to look for a combination of these factors, as there is no single foolproof way to identify a precise market bottom. Patience and a contrarian mindset are often required when trying to catch the bottom of a stock's decline.

Citations:
[1] https://www.reddit.com/r/investing/comments/4bwskp/how_do_you_know_when_a_stock_hit_a_bottom/?rdt=52549
[2] https://www.investopedia.com/articles/basics/10/3-ways-tell-stock-bottom.asp
[3] https://www.warriortrading.com/3-ways-tell-stock-bottoming/
[4] https://www.investopedia.com/articles/active-trading/090115/use-market-volume-data-determine-bottom.asp
[5] https://smartasset.com/investing/how-to-know-when-the-stock-market-bottoms-out