Wave Analysis 13.05.2014 (DJIA Index, Crude Oil)


Analysis for May 13th, 2014

DJIA Index

It looks like Index is forming extension inside wave (3). On minor wave level, price is moving upwards inside the third wave. Most likely, forecast of the price movement will remain bullish during the next several weeks, that’s why I’m planning to open several buy orders during correction.

More detailed wave structure is shown on H1 chart. Probably, price is finishing the third wave inside wave 3 and may start new correction quite soon. In the future, instrument is expected to move upwards inside wave [5] of 3.

Crude Oil

Probably, Oil continues forming the third wave. On minor wave level, price is being corrected. I’m planning to open sell order right after instrument starts falling down inside wave [3]. Right now, instrument is being corrected, so I’m opening short-term buy orders.

As we can see at the H1 chart, price formed wedge pattern inside wave (A). In the near term, Oil is expected to grow г з a little bit inside wave (C) of [2]. Later in the future, instrument may reverse and form initial descending impulse.

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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.