Last week the growth of the AUD/USD currency pair was limited by the resistance level of 0.9965.
Earlier on a daily chart the AUD/USD has formed the combination of candlesticks Bullish Engulfing, which indicates the upside movement, confirmed further.
This combination of candlesticks developed near support level of 0.9537, where the bulls started increasing their influence and a pullback took place after a downside motion. This combination of candlesticks provided a good opportunity to open long positions. A breakout of the resistance level of 0.9710 confirms this point of view. The breakthrough of 0.9965 will target the pair to 1.0182.
However, in case the reversal happens and the AUD/USD breaks out the support level of 0.95.7, then long positions should be closed, since it will lead to the further decline to 0.9300.
