Analysis for November 11th, 2011
We may assume that the price has completed an initial rising wedge
pattern in the first wave, and now is forming wave 2
. In the near term, after the local correction is finished, we can expect the price to start growing while forming the third wave.
More detailed structure is shown on the H1 chart. It looks like the second wave is taking the form a usual zigzag
pattern. On the minor wave level we can see the formation of wave [B]
. During the day we can expect the price to fall down in wave [C] of 2
The market started moving downwards in wave [C]
and now is being corrected again. The forecast of the price movement is still bearish. There is a strong possibility that the price may fall down during the next several days and reach a new minimum in wave W
. The target for the bears is the level of 1.3100.
The structure of zigzag pattern in wave [B]
is quite rare. The wave started with wedge
pattern, and was completed in the form of diagonal triangle
one. The price has formed an initial descending impulse. After the market completes the second wave, we can expect the price to continue moving downwards.