Analysis for July 10th, 2014
DJIA Index
Index couldn’t form bullish impulse and price started new correction. Possibly, right now instrument is forming bearish impulse inside wave (A). Price is expected to break local minimum during the day.
More detailed wave structure is shown on H1 chart. Probably, after finishing impulse inside wave (5), Index formed the first initial wave. It looks like Index completed its correction yesterday and in the nearest future may continue falling down inside the third wave.
Crude Oil
Oil is about to finish wave 1 or A. Yesterday take profits on my sell orders worked. Later, instrument may start pullback upwards inside bullish correctional wave 2 or B.
As we can see at the H1 chart, after completing wave [4], Oil started falling down again. Current structure of wave [5] implies that price may yet continue moving downwards, but bears are unlikely to be strong enough to push price too far. Most possible scenario here is new correction.
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