Analysis for January 6th, 2014
Index is still consolidating. Probably, market has already completed wave (4)
and may start moving upwards inside the fifth one in the nearest future. Most likely, in the near term, instrument will reach new maximum.
More detailed wave structure is shown on H1 chart. Last week, price completed extension
inside wave (3)
and then formed zigzag
pattern inside the fourth one. In the future, instrument is expected to continue moving upwards.
After completing zigzag
pattern of wave [B]
, market started forming descending impulse. Possibly, Oil may finish wave (1)
during the day and start new correction. In the future, I’m planning to increase my short position as instrument continues its descending movement inside wave (3)
As we can see at the H1 chart, market may continue falling down and forming extension
inside the fifth wave. I’ve got one sell order so far; stop is already in the black. Price may reach new minimums during the day.
RoboForex Analytical Department