"Momentum is severely overextended with clear bearish divergence across RSI and MACD. Expect a mean reversion move as buying pressure exhausts."
Current market conditions exhibit extreme upward tension. The RSI is currently printing at 78, well into overbought territory, indicating that buying velocity is reaching a point of exhaustion. The Stochastic Oscillator has signaled a bearish crossover above the 80 level, confirming a loss of immediate strength. Furthermore, a pronounced Bearish Divergence is visible: while price action has achieved a marginal new local high, the MACD histogram is printing lower highs, suggesting the internal 'engine' of the move is weakening. The distance between the current price and the mean (20-period EMA) is statistically overextended, suggesting a high probability of a corrective 'snap back' to relieve this momentum pressure.