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Strumenti
AUD/USD is moving within corrective subwave B (colored magenta in the chart) that is part of impulse wave C of medium term uptrend - colored royal blue in the chart. Within the former wave there are A-B-C subwaves with subwave C still developing - colored orange red in the chart. The targets of the downmove are Fibonacci retracements of 1.0442-1.0775, and expansions off 1.0775-1.0684-1.0731.
Supports:
- 1.0675 = contracted objective point (COP)
- 1.0648 = .382 retracement
- 1.0640 = objective point (OP)
- 1.0608 = .50 ret
- 1.0584 = expanded objective point (XOP)
- 1.0569 = .618 ret
If the uptrend resumes and the price reverses up the immediate resistances will be Fibonacci retracements of the wave down from 1.0775 - this wave is not developed yet.
Overbought/Oversold
Assuming that the medium term trend is up and current wave is corrective it's preferable to stand aside or try shorts when the Detrended Oscillator goes above the zero level (15-20 pips above the current prices) or gets into the overbought area (25-35 pips above the current prices).
Read more on how to apply Fibonacci studies to calculate price targets.
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