Overview :
Since our last analysis, gold has been trading downwards. As we expected, the price has tested the level of $1,182.19 in a high volume. Accoridng to the daily time frame we can observe supply in an volume below the average.The price rejected from our major Fibonacci retracement 38.2% ($1,205.00). According to the 4H time frame, we can observe supply in an average volume. I have placed Fiobonacci retracement to find potential support levels. I got Fibonacci retracement 38.2% at the price of $1,190.00 (already broken) and Fibonacci retracement 61.8% at the price of $1,172.00. Anyway, if the price breaks the level of 1,220.00, we may see potential testing of the level of $1,244.00.
Daily Fibonacci pivot points:
Resistance levels :
R1: 1,199.04
R2: 1,200.77
R3: 1,202.04
Support levels :
S1: 1,196.04
S2: 1,194.77
S3: 1,193.05
Trading recommendations: Be careful when buying gold at this stage since the price rejected from our Fibonacci retracement 38.2%
The material has been provided by InstaForex Company - www.instaforex.com
