FX.co ★ The AUD/USD candlestick analysis for 22/10/2010

At 4-hour graph, the AUD/USD currency pair consolidates after it rebounded from the lower limit of the uptrend. The viewpoint on the currency pair remains bullish. As it was mentioned before, if the breakthrough of the resistance level of 1.00 happens, then the advance to 1.05 is expected.
Earlier on a 4-hour chart, the AUD/USD had formed the combination of candlesticks Morning Star, thus indicating the uprising movement.
This combination of candlesticks emerged near 0.8770, where the bulls started to increase their influence and a rollback after the downside movement took place. The upward movement is confirmed by the fact that Morning Star formed near the lower boundary of the uptrend (daily chart). This combination of candlesticks opened an opportunity to trade long positions.
The stop orders should be set slightly below 0.9630, since the breakout of this mark will denote the breakthrough of uptrend.