Overview:
Since our last analysis, gold has been trading upwards. As we expected, the price tested the level of $1,152.85. An intraday trend is downward. In the daily time frame, I found a trading range between $1,170.00 (resitance) and $1,098.50 (support). In the H1 time frame, we can observe supply (downward channel) in a high volume. I am waiting for a clear breakout of the trading range in a high volume to confirm further short and mid-term direction. Anyway, the trend is still upward. The level of $1,170.00 successfully held and that is the reason why Gold entered a bearish corrective phase. The first support level is seen at $1,153.00-$1,144.00.
Daily Fibonacci pivot points :
Resistance levels
R1: 1,166.20
R2: 1,169.30
R3: 1,173.45
Support levels:
S1: 1,158.40
S2: 1,155.80
S3: 1,151.65
Trading recommendations: Be careful when selling gold at this stage and watch for potential buying opportunities on dips. Strong resistance is seen around the level of $1,170.00.
The material has been provided by InstaForex Company - www.instaforex.com