According to wave count this currency pair is developing corrective wave 4 of the intermediate uptrend (see waves colored magenta on the chart). The targets of wave 4 are Fibonacci retracements off 0.8737-0.9068:
- 0.8942 = .382 retracement, has been reached already
- 0.8902 = .50 ret. Below this point wave 4 will be considered a new wave A down and the whole movement 0.8633-0.9068 will be over (a daily wave - colored royal blue on the chart)
- 0.8863 = .618 ret
We also consider retracements of the whole movement up from 0.8633 to 0.9068:
- 0.8902 = .382 ret
- 0.8851 = .50 ret
- 0.8799 = .618 ret
As for the possible advance, if the price breaks above 0.9068 the enarest strategic target will be 0.9109 - objective point (OP) off waves 0.8066-0.8861-0.8314.
Overbought/Oversold
According to the Detrended Oscillator the market is heavily oversold. Assuming that the prevailing trend is up long entries are favored against the nearest Fibonacci retracement points, such as 0.8942 or 0.8902 only in case of bottoming signals.
