Knowing that all the market does is cycle from oversold to overbought, typically our go-to strategy is to buy into weakness and sell into strength. The biggest key to success when doing this though is properly timing the entry.
In this live trade here on AUD/USD Forex pair, notice how we knew the price was severely oversold coming into great support/demand. Once price makes its way into the zone where we feel comfortable buying, the next step is to jump to the what we call "Worm's Eye View" (1-minute or 5-minute chart) and time the change control entry.
Notice how this chart had been forming lower lows and lower highs and we stayed patient waiting for the price to form sideways change control before entering.
Get the move and take profits and move on.