Currently long on this stock however, I have remained somewhat skeptical about this position. Using the RSI tool as an indicator, you will see breaks in the previous market turning points where shown on the RSI before they occurred. The image is quite self explanatory if you are willing to study it. I do not use the RSI indicator as an oversold or overbought...
The pair broke above resistance levels and found consolidation at a major resistance level around the 136 price and has bounced off both the trend line and resistance level.
Negative divergence also formed on the RSI, which has already broken out of the trend. And indecision candles formed around 135.45 price. A break below the 133.45 level creates a good shorting...
An arguable double top has formed at the yellow line, which also indicates a 618 Fibonacci retracement level failed four times, showing strong supply or resistance. Targets 1 at 178.550, target 2 at 177.580, and target 3 at 176.800. Also waiting for a break of the RSI trend line to indicate the direction of sentiment.
Today the Euro strengthened against the Pound after forming a bullish Morning Star candlestick pattern, which has now been followed by a double-top at the 618 Fibonacci retracement level, this level could also be considered as a resistance level. This indicates a continuation of the Euro trend to the downside. The RSI (Relative Strength Index) has also created...
