Overview:
Since our last analysis, gold has been trading sideways around the price of $1,200.00. According to the daily time frame, we can observe demand in a volume below the average. I placed Fibonacci retracement to find potential resistance levels and got Fibonacci retracement 61.8% at $1,208.00 (held few times). I placed Fibonacci expansion to find potential bearish objective points and got Fibonacci expansion 61.8% at $1,185.00 and Fibonacci expansion 100% at $1,170.00. Major resistance is around the level of $1,220.00. Only if the price breaks that level, we may see a strong bullish movement. Objective points for bullish movement are $1,232.00, $1,263.00 and $1,312.00. The short-term trend is neutral. I found trading range between the price of $1,209.00 - $1,188.00. We are waiting for a clear direction for a better entry.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,205.00
R2: 1,209.06
R3: 1,216.15
Support levels:
S1: 1,190.26
S2: 1,186.60
S3: 1,179.53
Trading recommendations: Gold is in a trading range. If the price breaks up or down in a high volume, it will confirm direction. Buying positions are preferable.
