AUD/USD is moving within wave C of long term uptrend - from 1.0561 (colored light green in the chart). At the moment this wave consists of five subwaves - colored red in the chart. Wave 5 is over and now a corrective wave is developing.
The targets of the downmove are Fibonacci retracements of 1.0561-1.1079, and expansions off 1.1079-1.1002-1.1074.
Supports:
- 1.0949 = expanded objective point (XOP)
- 1.0881 = .382 retracement
- 1.0872 = super expanded objective point (SXOP)
- 1.0820 = .50 ret
- 1.0759 = .618 ret
If the price reverses to the upside the immediate resistances will be Fibonacci expansions off 1.0390-1.0797-1.0561, 1.0561-1.0772-1.0694, 1.0694-1.0873-1.0795.
Resistances:
- 1.1085 = XOP
- 1.1220 = XOP
- 1.1246 = SXOP
- 1.1264 = SXOP
Overbought/Oversold
Assuming that the medium term trend is up it's preferable to try long positions when the Detrended Oscillator goes below the zero level (current prices) or gets into the oversold area (10-20 pips below the current prices).
Read more on how to apply Fibonacci studies to calculate price targets.