Analysis for July 13th, 2012
It looks like the price continues forming an initial descending impulse in wave (1)
. Earlier wave 2
was finished in the form of zigzag
pattern. I’d like to remind that on the major wave level the price is forming a bearish diagonal triangle
pattern. In the near term, we can expect the pair to continue falling down.
At the H1 chart the price is about to start forming an extension
in wave (3)
. On the minor wave level the pair is forming the second wave. Most likely, the price will start moving downwards again inside wave 3 of (3).
Euro is finishing wave 3
, which lacks only one descending wave in order to be completed. There is a possibility that the price may start the correction in the nearest future.
It looks like wave 
is taking the form of diagonal triangle
pattern. Wave 3
may be formed on Friday. After that we can expect the market to start forming the fourth wave, which may take several days to complete.