GBPUSD UPDATE: Price bounces off bottom of a rising channel. However negative divergence hints at lack of bullish conviction.

[RTFX-Trading]

GBPUSD UPDATE: Price bounces off bottom of a rising channel. However negative divergence hints at lack of bullish conviction.

The price of the Sterling bounced off the bottom of a rising channel on Thursday 12th of November against the US Dollar. This should be a signal to buy again, but the negative divergence on the RSI indicator on the GBPUSD Daily graph points to a lack of bullish conviction. We will wait to see what happens from now, as a break and close below the bottom of the channel at 1.66 will signal a move down to possibly test 1.6250. On the other hand, a break of November 9th high at 1.6843 should trigger a further rise to test the top of the channel.



Emman Xuereb

RTFX Ltd
Head Office
The Cornerstone Complex, 16th September Square | Mosta MST 1180 | Malta
Tel:  +356 23 31 00 00
Fax: +356 21 41 24 58
Web: www.rtfx.com
Risk Disclaimer