Recently, gold has been trading downwards. As I expected, the price tested the level of $1,146.68 in an high volume volume. According to the 30M time frame and using the market profile, I found yesterday's point of control at the price of $1,159.45. Besides, there is a buying climax in the background and the price didn't sustain the higher level, which is a major sign of weakness. According to the 1H time frame, I found a confirmed head-and-shoulders formation. My advice is to watch for potential selling opportunities on the pullbacks. Targets are set at the price of $1,145.00 and $1,137.15.
Resistance levels:
R1: 1,152.70
R2: 1,153.45
R3: 1,154.70
Support levels:
S1: 1,150.20
S2: 1,149.40
S3: 1,148.30
Trading recommendations for today: Watch for potential selling opportunities due to confirmed weakness in the background.
The material has been provided by InstaForex Company - www.instaforex.com