With the data i have here, it seems to me that every time when there is a weekly overbought condition in RSI, we will have a decent correction for the past three times.
An overbought condition doesn't not mean that the pair will crash overnight!
It just means high chances that after one or two weekly bars, price are likely to reverse.
Besides, given such a strong overbought condition, i suspect yet another leg of higher high with a lower high in RSI to give rise to a bearish divergence in future.
An overbought condition doesn't not mean that the pair will crash overnight!
It just means high chances that after one or two weekly bars, price are likely to reverse.
Besides, given such a strong overbought condition, i suspect yet another leg of higher high with a lower high in RSI to give rise to a bearish divergence in future.