I've made one reticle in the past, but for some reason I can't save this one; my save menu has some of the needed options grayed out:

Spoiler:

In case anyone is wondering, it's the reticle for the ballistic knife from COD: Black Ops

I got that a lot time. It's easy to fix. Just choose some other .dds format when pressed save as.

the solution: the reticle always has to be a 64x64 pixel size .dds file in renegade
Renegade uses 64x64 and the doubles of it (for most of the things), so you can use 64x64, 128x128, 256x256 and 512x512 and so on...
You couldn't save the image because the image size wasn't corect (dds files always have to be square, not rectangle).

DxT5 is needed for reticles.

Fixed, thanks.

Will upload later