Bellow is 1h AUDUSD chart.


I pull a Fibonacci from recent low to recent high. If you check Fibonacci levels, you can very clearly see that there were levels are, price reacted on them. So considering this, Fibonacci 0 and 100 % levels are valid. Every time when we pull a Fibonacci, we need to check back in time and see if levels were respected. If levels were not respected, then most probably, that this Fibonacci was not placed on correct low and high of current swing. Most ideal for AUDUSD will be, if we could get retrace back to 38% or 50% Fibonacci retracement. But since current up trend on 1h chart is so strong, it could be that we will not get so deep retrace and that retrace only to marked blue role reversal level was all we will get. Next resistance which I see is at MR1 = 0.7227 and then at 0.7267. If those resistances will be broken, then price could go to 0.7400.

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