Overview:
Gold has been trading downwards. As we expected, the price tested the level of $1,178.05 in an ultra-high volume (selling climax). In the daily time frame, we can observe a strong bearish bar. Our trading range between the levels of $1,205.00 and $1,198.00 was finally broken and that is the reason for downward movement. Fibonacci retracement 61.8% at $1,205.00 was successfully held. Anyway, selling looks risky at this stage because we got major support around $1,168.88 - $1,162.00. The short-term trend is bearish. Watch for bearish opportunities if the price breaks major support.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,196.16
R2: 1,200.70
R3: 1,208.00
Support levels:
S1: 1,181.50
S2: 1,177.00
S3: 1,169.00
Trading recommendations:. Sellers are in control on the market. Be careful when buying gold.
The material has been provided by InstaForex Company - www.instaforex.com