After a short pause on Friday and Monday, the pressure on the dollar has returned. The dollar index is losing 0.2% on Tuesday after a two-day 0.8% bounce.
In our opinion, the dollar appears oversold, which increases the chances of a rebound. On the daily RSI for the EUR/USD pair, the two peaks are approximately at the same level, while the price chart keeps rewriting highs. Such divergence often precedes corrective pullbacks.
EURUSD seems overbought (Image not shown due to low ratings)
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