Under wave count this currency pair is developing a daily upwave, which is formally a correction to 0.8861-0.8314, therefore we get Fibonacci retracements of this wave. More targets above are Fibonacci expansion points off 0.8314-0.8556-0.8446 and 0.8446-0.8659-0.8619.
Nearest resistances:
- 0.8732 = .764 retracement, reached already
- 0.8751 = contracted objective point (COP)
- 0.8832-38 = confluence area of objective point (OP) and expanded objective point (XOP)
In case the price starts declining the nearest supports will be provided by Fibonacci retracement points of the upwave starting from 0.8446.
Overbought/Oversold
Althought the Detrended Oscillator is moving towards its zero level, still there is no good point to enter the market from the long side. Only extremely oversold reading which is some 50 pips below the current price can be considered a level to enter in case a bottoming signal appears.
