Overview:
Since our last analysis, gold has been trading upwards. The price tested the level of $1,078.97. According to the daily time frame, I found neutral bar in a high volume, which is a sign of indecision and sign for exhausted gold. Our strong support around the levels of $1,075.00-$1,080.00 became strong resistance (changing polarity) now. In the M5 time frame, I found trading range between the level of $1,075.50 and the level of $1,079.00. I would stay neutral on gold, but the short-term trend is still downward. So, watch for potential selling opportunities.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,071.90
R2: 1,073.80
R3: 1,076.50
Support levels:
S1: 1,065.85
S2: 1,064.00
S3: 1,061.80
Trading recommendations: Be careful when buying gold since the price has broke our major support level. Watch for potential selling opporutnities.
The material has been provided by InstaForex Company - www.instaforex.com