The AUD/USD is developing subwave C (colored red in the chart) within impulse wave C of medium term uptrend (colored magenta in the chart). This subwave in its turn consists of smaller waves - colored orange red and yellow. The targets of the upmove are Fibonacci expansions off 0.9943-1.0157-0.9963, 0.9963-1.0082-1.0001, 1.0001-1.0136-1.0090, 1.0090-1.0177-1.0116.
Resistances:
- 1.0194 = expanded objective point (XOP)
- 1.0203 = objective point (OP)
- 1.0225 = OP
If the price reverses down the immediate supports will be Fibonacci retracements of 1.0001-1.0178, 0.9963-1.0178.
Supports:
- 1.0110 = .382 retracement
- 1.0096-90 = confluence area of .382 and .50 retracements
- 1.0171-69 = .50 and .618 ret
- 1.0045 = .618 ret
Overbought/Oversold
Assuming that the trend is still up, it's preferable to use oversold readings of the Detrended Oscillator (40-50 pips below the current price) or its cross below the zero level (15-20 pips below the current price) to consider long positions.
Read more on how to apply Fibonacci studies to calculate price targets.
