Overview:
Since our last analysis, gold has been trading upwards. The price tested the level of 1,290.32 in a ultra high volume according to the 1H time frame. We can observe an ultra high volume (buying climax) according to the 1h timeframe, which is a sign that buying looks very risky. Our Fibonacci expansion 61.8% at the price of 1,284.00 is broken. So, we may see potential testing the level of 1,260.00 (Fibonacci expansion 100%). I have placed Fibonacci retracement to find potential resistance levels and I got Fibonacci retracement 38.2% at the price of 1,292.00 and Fibonacci retracement 61.8% at the price of 1,303.00.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,281.02
R2: 1,282.58
R3: 1,285.10
Support levels:
S1: 1,275.98
S2: 1,274.42
S3: 1,271.90
Trading recommendations: Buying Gold looks risky since the price has broken the support level.
The material has been provided by InstaForex Company - www.instaforex.com
