EUR/USD Daily RSI Tendencies Suggest We Treat Rally with Suspicion

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eliottWaves_eur-usd_body_eurusd.png, EUR/USD Daily RSI Tendencies Suggest We Treat Rally with Suspicion

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

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FOREXAnalysis: The EURUSD has been a mess of late and I spoke of one setup to watch for (in conjunction with USDCHF) during Monday’s webinar. There is something else of interest here however…RSI. In ranging markets, tops are often found with RSI near 60 or near previous RSI peaks. EURUSD daily RSI is at both (circled area is a prior peak). Still, the RSI range concept simply suggests the possibility of price support/resistance. The concept is much more powerful when a clean pattern is evident. There are too many possibilities at the current juncture (including the one described in the video…which would be a move above 1.3242 and THEN a reversal lower).

FOREX Trading Strategy: Flat

LEVELS: 1.2955 1.2997 1.3043 1.3113 1.31791.3242

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