Overview :
Since our last analysis, gold has been trading downwards. As we expected, the price has tested the level of $1,207.32 in a high volume. According to the daily time frame, we can observe weak demand in a volume below average. According to the lower time frames, we can observe selling climax (hidden this stage). Our Fibonacci expansion 100% at $1,225.00 got tested. The pirce is testing support at $1,207.00. If the price breaks the level of $1,207.00 in a high volume, we may expect it to test the level of $1,194.00.
Daily Fibonacci pivot points:
Resistance levels :
R1: 1,223.12
R2: 1,225.92
R3: 1,230.47
Support levels :
S1: 1,214.02
S2: 1,211.22
S3: 1,206.67
Trading recommendations: Be careful when buying gold at this stage since our Fibonacci expansion 100% is almost tested.
The material has been provided by InstaForex Company - www.instaforex.com
