USD/THB Price Analysis: Buyers hold sway, bearish turn spotlighted as bullish momentum slows
12.03.2024, 21:49

USD/THB Price Analysis: Buyers hold sway, bearish turn spotlighted as bullish momentum slows

  • The RSI on the daily chart remains largely positive, suggesting an increase in buying momentum.
  • On the hourly chart, the RSI in overbought territory hints at intense buying traction which could lead to a correction.
  • The pair continues to operate above the main SMAs, indicating a long-term bullish sentiment.

The USD/THB pair is currently trading at a level of 35.74, up by 0.91% on Tuesday. The daily chart points to growing bullish momentum, while hourly indicators reached overbought conditions, which could push the pair into a consolidation phase in the next hours.

On the daily chart, the USD/THB pair shows the Relative Strength Index (RSI) jumped above 50 on Tuesday suggesting that the bulls are recovering. However, this positive outlook is tempered by the red bars of the Moving Average Convergence Divergence (MACD) histogram, which despite being shorter, point out that there are still signs of selling momentum.

USD/THB daily chart

Switching to the hourly chart, the RSI has surged into overbought territory, indicating that buyers are taking a strong foothold in the shorter-term market dynamics. However, the MACD histogram displays decreasing green bars, implying a loss of bullish momentum as well. Though the buying pressure was strong, it appears to be losing steam quickly as buyers might consolidate gains in the next hours.

USD/THB hourly chart

In conclusion, buyers seem to dominate, keeping the USD/THB pair above the 100 and 200-day Simple Moving Averages (SMAs) on the daily chart. In contrast, the hourly chart suggests the bullish momentum may be fading.

 

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