GBPUSD Technicals Weekly - RSI rolling over from above 70

GBPUSD Technicals Weekly - RSI rolling over from above 70

24 August 2014, 20:11
Ray Steve
0
233
  • “Of note is a weekly outside reversal and weekly RSI rolling over from above 70 this week. Prior instances of RSI rolling over (2004, 2006, and 2007) from above 70 indicated tops of at least several months.”
  • GBPUSD has traded back to the year open (1.6565). 1.6565 to the March low (1.6464) forms a support zone for a bounce. If this zone gives way then then major support comes in from the 3 peaks in 2012 and this year’s low at 1.6250-1.6340. Expect resistance on any rebound, whether in the coming weeks or months, at 1.6820/90.


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