16.06.202116:23 Forex Analysis & Reviews: GS stock price shows early signs of a trend reversal.

GS stock price has recently made a high at $392-$393 area but has reversed strongly since then and price is now at $367. In the weekly chart the RSI has not followed price to higher highs. Instead the RSI price has made lower lows providing us with an important warning signal from the bearish divergence. The upside momentum is weakening.

Exchange Rates 16.06.2021 analysis

Red lines - bearish divergence

Blue lines -Fibonacci retracement levels

It is justified to see a pull back from $393 to the 38% Fibonacci retracement level of $312. GS stock price has most probably completed the entire upward move from $185 and is now starting its correction. This does not change the longer-term bullish trend, however the warning signal from the weekly RSI should be taken under serious consideration. At current levels we prefer to be neutral if not bearish the GS stock.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Alexandros Yfantis,
Analytical expert
InstaForex Group © 2007-2021
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