FMCN, whaddaya think, whaddaya think?

So I was practicing on Investors Intelligence, looking at oversold sectors and went to Media to see if it's showing any signs of turning around. It hasn't been this oversold since 2001. So the first few charts either had weak RS or just looked not very good, but I came to FMCN and it gave me more to look at.

The company is almost 3 years old and all previous price movement is below the current price range on my chart, the current trend is a short-term trend branching above a longer-term trend(the black lines). It was showing positive RS, the MACD gave a buy signal in mid-November and has since crossed the zero line, the RSI shows positive strength (if I drew it right, the price line does belong flat and not up right?) and crossed the 50 line, I'm not sure what to take from the volume it seems to have gotten just slightly weaker (discounting the large bar in mid-Nov, obviously that was over the test of support). It looks possible to jump above the 10-wk MA as well as resistance while it's forming an ascending triangle. That would be a HUGE positive break which should move up to test the previous high at least, I think. On the other hand, it could break the 3rd fanline and reverse the trend, but I think that's less likely judging from the market condition. I'm only paper trading for now until I have the funds to test this stuff, so I'm not making any moves, but I would watch for a confirming breakout first or a support test. Which brings me to a couple of questions.

#1 I know the BP signal line is 30%, but when a sector is THIS oversold it should be just that much safer of a time to get in correct? Is it ok to get in once things start to reverse or is it still better to wait for the 30% line?

#2 Divergences. The book says ND's should be ontop of the indicator and the stock price and PD's should be under the indicator and over the stockprice. I didn't understand at first, but I think it's because you're looking for support in a PD and resistance in a ND. Did I draw my line right when looking for the PD in the last couple of weeks? I drew it flat because of resistance. In that case it's a PD, but if I was supposed to draw it uptrending for the past month, it would just be confirming the trend, right?

Big post I know, but now I'm done. Say, is anyone else's jaw hanging open over that early November negative divergence with PUT written all over it?