FX.co ★ AUD/USD Elliott wave count and Fibonacci levels, August 10, 2010

According to wave count this currency pair is now moving within daily wave 4 (colored royal blue on the chart). The targets of this corrective movement are represented by Fibonacci retracements of 0.8905-0.9221 and expansions off 0.9221-0.9140-0.9205 and 0.9205-0.9154-0.9170:

- 0.9100 = .382 retracement
- 0.9087 = expanded objective point (XOP)
- 0.9074 = XOP
- 0.9063 = .50 retracement
- 0.9036 = super expanded objective point (SXOP)
- 0.9026 = .618 retracement

In case the price reverses and continues the long term trend the nearest strategic target is:

- 0.9830 = objective point (OP)

Overbought/Oversold

The Detrended Oscillator is in the oversold area. Assuming that the major trend is up, it's good to wait for a reversal against one of the listed Fibonacci supports to enter long.