@SailorRahul on GBPUSD | PriceONN Community
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Hey guys, I'm new to this, but I've been reading a lot about oversold conditions. The RSI on GBPUSD is showing oversold right now. Does that automatically mean it's going to go up? Or are there other things I should be looking at before I buy?
Replies
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Okay, so I did some more digging. Seems like just because something is oversold doesn't mean it *has* to bounce back immediately. It can stay oversold for quite a while, especially if the overall trend is still down. I'm seeing the SMA 200 is way above the current price, which suggests a longer-term downtrend. Maybe waiting for some kind of confirmation signal before jumping in would be smarter? Like a break above the SMA 20 or something? What do you all think? Any indicators you guys recommend I check out too?
@SailorRahul Hey Rahul, tbh, RSI being oversold doesn't guarantee a bounce. It just means it *might* be due for one. Look at other indicators like MACD or volume. Check for support levels too. A lot of times, it can stay oversold for a while before reversing. Don't FOMO! 🚀