The Aussie had a good run. It's time for a bit of retracement.
The pair was rising steadily within the steep wedge formation since the beginning of December last year and last few days it managed to break, close and stay out of it. Also, if the market is looking for some more upside, then this would be a good retracement area in order to go higher later on.
At the moment, I am looking for a 23.6% retracement at around 0.77867. We will have to observe and try to figure it out what it wants to do there. Ideally, I would like to see a 38.2% level and then a move higher, but one step at a time.
If suddenly we have a reversal and it will start heading back towards the recent highs, before it has dropped to 23.6%, then scrap the whole idea.
apply the fib from the weekly perspective, if you're in an up trend why would you apply it to consistently new peaks, its not viable. Look left when applying fibbo. safe.
DariusAnucauskas
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@Louissuguna, I will certainly take into account everything what you said and I appreciate the criticism, but Fibonacci can not only be applied to Weekly charts. You can successfully use them on different timeframes as well.
But, like I said, thank you for the criticism and I respect your thoughts.