The AUD/USD is now developing wave C of medium term uptrend - colored royal blue in the chart. Within this wave there are A-B-C subwaves with subwave C still developing - colored orange red in the chart. Now the targets above the current price level are Fibonacci retracements of 1.0255-0.9803, and expansions off 0.9803-1.0076-0.9831, 0.9831-1.0021-0.9865, 0.9865-0.9988-0.9956.
Resistances:
- 1.0029-32 = confluence area of .50 retracement and contracted objective point (COP)
- 1.0055 = objective point (OP)
- 1.0079-82 = confluence area of OP and .618 ret
- 1.0104 = OP
- 1.0148-55 = confluence area of .764 ret and expanded objective point (XOP)
If the price reverses down the nearest supports will be Fibonacci retracements of the wave up from 0.9865 - this wave is not developed yet.
Overbought/Oversold
Assuming that the medium term trend is up, it's preferable to use oversold readings of the Detrended Oscillator or its cross below the zero level to consider long positions. The Oscillator is now in the overbought therefore wait for a retracement of the oscillator below the zero level (15 pips to go - 1.0005) or into the oversold (30-35 pips - 0.9990-0.9985).
Read more on how to apply Fibonacci studies to calculate price targets.