Last week, the AUD/USD currency pair traded up. Earlier on a daily chart, AUD/USD has formed the bullish combination of candlesticks Bullish Engulfing, thus denoting the upward movement. It is expected the currency pair will test the resistance level of 0.9849 soon.
The uprising movement is confirmed by the fact that this combination of candlesticks has formed on the uptrend after it rebounded from the support level of 0.8066 and Fibonacci correctional level of 38.2, where the bulls started to increase their influence and the bears did not fixate.
This combination of candlesticks indicates that the pair was declining after failed attempt to break through the resistance level of 0.9394. However, it reversed after it came closer to 0.8066.
The fact that AUD/USD has successfully breached the mark of 0.8855 means that this viewpoint is correct.
On the other hand, the long positions should be cut if the support level of 0.9000 is broken through, as it will denote that the upward trend is breached.
