Overview:
Since our last analysis, gold has been trading downwrads. As we epxected the price tested the level of 1,257.09 in a volume below average according to the 4H time frame. The price tested our Fibonacci expansion 100% at the level of 1,258.00, so be careful when selling at this stage. If the price breaks the level of 1,251.00 in a high volume, we may see more downward movement and potential testing the level of 1,218.00 (Fibonacci expansion 161.8%). Anyway, Gold may also start a bullish corrective phase, so we must wait and observe price action around our Fibonacci expansion 100%.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,275.84
R2: 1,280.06
R3: 1,286.90
Support levels:
S1: 1,262.16
S2: 1,257.94
S3: 1,251.10
Trading recommendations: Selling at this stage looks risky since our Fibonacci expansion 100% is on the test.
The material has been provided by InstaForex Company - www.instaforex.com
