Wave Analysis 04.01.2013 (DJIA Index, Crude Oil)

04.01.2013

Analysis for January 4th, 2013

DJIA Index

We may assume that the Index is forming double zigzag pattern inside wave [2]. On the minor wave level the price finished an impulse inside wave A. Most likely, after completing a local correction, the instrument will start a new ascending movement inside wave C of (Y).



More detailed wave structure is shown on the H1 chart. It looks like the price started a correction inside wave B. There is a possibility that the gap level may become a support one; the instrument may rebound from it and start forming a bullish wave C.



Crude Oil

It looks like a correction continues; wave (2) is taking the form of zigzag pattern with wave C inside it. In the near term, the price may grow up a little bit, but later Oil is expected to make a reverse and start a new descending movement inside the first wave.



As we can see at the H1 chart, wave [5] is being expanded. On the minor wave level the price finishing the fourth wave. The price movement is supported by the gap level; if the instrument rebounds from it, the price will start a new ascending movement inside the fifth wave.



 
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