We are in bearish mode on AUDUSD currency pair
Here is the illustrations and snapshots for AUDUSD Forecast and technical analysis May 19 2014
Though the current setup is confusing about the bearish mode of AUDUSD, we are still on bearish mode on AUDUSD pair as the pair still holding the magic resistance level 0.94000.
On monthly chart we can see the yellow 0.9400 resistance level is still there though the current monthly candle is a bull. there is a possibility to break 0.9400 level. On the other hand the monthly trend is bearish so there is strong possibility that it will hold the 0.9400 level and start falling from this zone.
On weekly chart we can see a confusion state the last weekly candle created a big lower and upper shadow with a small body, it created a spin tops candle, it tells us that the current bullish market is not that confident, it might start falling from here.
On daily chart we can see that market already created a lower high(LH) after a higher high (HH) on the daily chart, though the lower high level is still not confirmed
On H4 chart we can see that market just bounced from the 50 EMA level and wanted to go for bullish trend but at the same time it started loosing its momentum as you can see the last 3 candles are bearish.
On the H4 chart we have defined a support level that is 0.93150. If AUDUSD pair is able to beat this level then we will go for short. It might experience a ranging situation between 0.9400 and 0.93150 level for the next few days.