We use the coupled wave method to investigate a one-dimensional nonlin
ear diatomic lattice. We consider the case where the two different lat
tice atoms have similar masses. This narrows the forbidden frequency g
ap between the longitudinal acoustic and optic phonon branches. As a r
esult, the nonlinear shift of the gap's borders becomes comparable wit
h the width of the gap itself. We find the exact solution, in the form
of only two waves propagating towards each other. This is an importan
t first step towards a full three-dimensional solution. We calculate t
he ratio of the two waves' amplitudes, and analyse the dispersive prop
erties of the diatomic chain. Of special interest is how stable locali
zed modes emerge in the forbidden frequency gap, both stationary and s
lowly propagating along the chain. We show that the envelope of their
amplitudes has the form of solitary waves. What is crucial for such lo
calized modes to appear is the spatial phase modulation of the particl
es' vibrations. This is because it makes the chain transparent at the
margins of the forbidden gap, due to the self-action of the wave (opti
cal switching).