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Trading news
29 May 2018
GBP/USD Technical Analysis: Bullish RSI divergence on 4hours chart
- A bullish price relative strength index (RSI) divergence is seen in the GBP/USD 4-hour chart.
- 14-day RSI shows oversold conditions.
4-hour chart
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Daily chart
-636631659593605464.png)
Spot Rate: 1.3320
Daily High: 1.3325
Daily Low: 1.3297
Trend: Corrective rally likely
Resistance
1.3329 (5-day MA)
1.3407 (4-hour 50-MA)
1.3422 (May 24 high resistance on 4-hour chart)
Support
1.3294 (recent low)
1.3062 (100-week MA)
1.30 (psychological level)
The bullish price RSI divergence and the oversold 14-day RSI indicate scope for a corrective rally. That said, moving averages maintain a bearish bias - 5-day, 10-day, and 5-week, 10-week MAs continue to fall in a GBP-negative manner.