Wave Analysis 05.10.2011 (USD/CHF, EUR/USD)

Analysis for October 5^th, 2011

USD/CHF

The price continues growing while forming diagonal triangle pattern inside wave 5. On the minor wave level we can see that the third wave is almost finished. In the near term, we can expect the start of the local correction, and after it is finished, the price may continue growing in wave [5].



We may assume that the price is starting to form wave [C] of 3. This wave may be completed at the level of 0.9300 during the day. After that, there is a possibility that the correction may start and take place for the next several days.

EUR/USD

In case of Euro, just as of Franc, the price is also forming diagonal triangle pattern. We may assume that the fourth wave is being formed inside this pattern at the moment. During the day we can expect the local correction to be finished and the start of the descending movement inside wave 5 of (C).



An initial rising impulse has been completed, and we may assume that this impulse is wave [A] in zigzag pattern inside the fourth wave. At the moment, wave [B] is being formed, which may be completed during the day. After that we can expect the price to start growing while forming wave [C] of 4.