Wave count on smaller timeframes still shows we are in corrective daily wave B (wave A 130.80-137.75 - colored royal blue). The strategis targets of the correction are Fibonacci retracements of 130.80-137.75. On smaller timeframes there's a set of 3 waves ABC (colored magenta). The targets of wave C are Fibonacci expansions off 137.75-135.46-136.97 and 136.97-135.02-135.72:
- 134.51 = contracted objective point (COP)
- 134.28 = .50 retracement
- 133.77 = objective point (OP)
- 133.45 = .618 retracement
- 133.26 = expanded objective point (XOP)
In case the price turns to the upside the nearest resistances will be Fibonacci retracement points of 136.97-134.49:
- 135.44 = .382 ret
- 135.73 = .50 ret
- 136.02 = .618 ret
Overbought/Oversold
The Detrended Oscillator is at the zero level. The two latest peaks show a bullish divergence. Assuming the major uptrend and the COP, that has just been reached, be ready to enter long if the market reverses to the upside.