According to wave count this currency pair is developing wave 5 of the mid term uptrend. Within the latter we have a sequence of 5 subwaves, with subwave 5 developing.
Now the targets of the upside movement are Fibonacci expansions off 0.8772-0.9032-0.8862 (waves 1-2 - colored magenta), 0.8862-0.9183-0.9091 (waves 3-4), and expansions off minor waves 0.9091-0.9148-0.9099, 0.9099-0.9195-0.9165.
Resistances:
- 0.9224 = contracted objective point (COP); reached already (!)
- 0.9248-61 = confluence area of super expanded objective point (SXOP) and objective point (OP)
- 0.9283-89 = confluence area of strategic levels - expanded objective point (XOP) and COP
- 0.9320 = XOP
In case the price reverses down for a correction the nearest supports will be provided by Fibonacci retracement points of the wave up starting from 0.9091 (wave not formed yet).
Overbought/Oversold
The Detrended Oscillator is slightly above the zero level with overbought some 20 pips above the current price and oversold - some 30 pips below. Assuming that the prevailing trend is up it's advisable to seek for bottoming signals against one of the Fibonacci resistances or in the oversold area to enter long.
