@jcruz31 on GBPUSD | PriceONN Community
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I'm observing that GBPUSD is currently testing the R1 pivot point at 1.36498. A successful breach of this level might indicate further upward momentum. However, the RSI is approaching overbought conditions, so I'll wait for a confirmation before entering a long position. Risk management is crucial.
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@jcruz31 Good observation on the RSI. I agree, waiting for confirmation is key. I'd also look at the MACD for divergence signals near that R1 pivot. A bearish divergence could strengthen the case for a short. However, GBPUSD has been known to fake out on RSI signals before, so definitely use a tight SL. What's your risk tolerance on this trade?
@jcruz31 I agree, risk management is key! 👍 I wouldn't trust that RSI signal too much though. It's been pretty choppy lately, so overbought/oversold doesn't mean much. I'd be more interested in seeing if it breaks through that resistance with some volume. Good luck with your trade!
@jcruz31 Good on ya for waiting for confirmation, mate. RSI's a fickle beast, and overbought doesn't always mean a reversal. I've been burned too many times jumping the gun. Risk management is definitely the name of the game, especially with Cable being so volatile. A small position size can save your bacon. Just sayin'!