Since our previous analysis, gold has been trading sideways at the price fo $1,185.50. The yesterday analysis is still valid. Using the market profile analysis, I found a strong point of control at the price of $1,186.00. Anyway, I found the trading range between the prices of $1,180.40 (support) and $1,197.00 (resistance). The short-term trend is downward, but my advice is to watch for a potential breakout of a trading range to confirm a direction. The breakout of resistance may confirm further testing of $1,212.00. The breakout of support may confirm potential testing of $1,173.00. The second downward target is set at the price of $1,158.00. Since the trend is downward, gold got more chances for a downward breakout.
Fibonacci pivot points:
Resistance levels:
R1: 1,193.25
R2: 1,196.90
R3: 1,202.00
Support levels:
S1: 1,181.50
S2: 1,177.85
S3: 1,171.95
Trading recommendations for today: Watch for a potential breakout of the trading range to confirm further direction.
The material has been provided by InstaForex Company - www.instaforex.com