The RSI indicator on the daily chart is trading at 66, approaching its overbought level of 70. If it enters the zone on a closing basis, traders will be advised not to add to their long positions because the chances of a pullback would increase. Another possibility, however, is that the rally continues, and the RSI stays in the overbought zone.
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The RSI indicator on the daily chart is trading at 66, approaching its overbought level of 70. If it enters the zone on a closing basis, traders will be advised not to add to their long positions because the chances of a pullback would increase. Another possibility, however, is that the rally continues, and the RSI stays in the overbought zone.