Wave Analysis 18.09.2012 (DJIA Index, Crude Oil)

Analysis for September 18^th, 2012

DJIA Index

Djia Index is still moving inside a bullish trend. It looks like the price is forming an ascending impulse in wave [1] with the fifth wave inside it. The current chart structure may yet be changed, so in the nearest future we can expect the instrument to continue growing up.



As we can see at the H1 chart, the price is forming an extension in wave 3. On the minor wave level the Index has finished the fourth wave. In the near term, the instrument may start growing up and form wave [5] of 3.

Crude Oil

We may assume that a fast descending movement the price made yesterday is the fourth wave. Oil is currently moving near the channel’s lower border. We can’t exclude a possibility that the price may start moving upwards again in the nearest future. The target is above the level of $102 p/b.



More detailed wave structure is shown on the H1 chart. Wave [5] of 3 has been completed in the form of diagonal triangle pattern. Wave 4 may also have been already finished, in the form of zigzag pattern. During the day we can expect the price to continue growing up slowly and form wave [1].