AUD/USD has developed corrective subwave B and is now moving in subwave C (colored magenta in the chart) that is part of wave C of larger degree - colored royal blue in the chart. Now the immediate resistances are Fibonacci expansions off 0.9709-1.0580-1.0389, 1.0389-1.0578-1.0442, 1.0442-1.0775-1.0676, 1.0676-1.0765-1.0737.
Resistances:
- 1.0881-82 = confluence area of expanded objective point (XOP) and contracted objective point (COP)
- 1.0927-37 = confluence area of COP and super expanded objective point (SXOP)
- 1.0970 = SXOP
If the price reverses to the downside the immediate supports will be Fibonacci retracements of the wave up from 1.0676.
Overbought/Oversold
Assuming that the medium term trend is up it's preferable try longs when the Detrended Oscillator goes below the zero level (20-25 pips below the current prices) or gets into the oversold area (35-45 pips below the current prices).
Read more on how to apply Fibonacci studies to calculate price targets.
