Under pressure with bearish divergence of 1H RSI

  


  • USD/CNH is down 0.20% on the day with overbought readings on the daily RSI. 
  • The hourly chart RSI has diverged in favor of a correction. 

USD/CNH is reporting moderate losses this Monday morning in Asia.

As of writing, the pair is trading at 6.9352, representing a 0.20% drop on the day, having hit a session low of 6.9241 earlier today and a 5.5-month high of 6.9488 on Friday. 

The losses see today could be associated with the overbought conditions reported by the daily chart relative strength index (RSI). 

Further, the pullback could be extended further toward 6.90 as the hourly chart RSI is reporting a bearish divergence of the RSI. 

Hourly chart

Trend: Bearish

Pivot points

 



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