Overview :
Since our last analysis, gold has been trading sideways around the price of 1,143.00. We are waiting for a larger volume and stronger price action. Our major Fibonacci expansion 161.8% at the price of 1,146.00 is on the test, so be very careful when selling gold at this stage. According to the 4H time frame, we got lack of supply around the price of 1,145.00 (high churn volume), which is a sign that selling gold at this stage looks risky. Be careful when selling gold and watch for potential buying opportunities. Any larger reaction from buyers may confirm a futher bullish phase. Anyway, if the price breaks the level of 1,146.00 in a high volume and strong price action, we may see possible testing the level of 1,035.00 (swing high like support).
Daily pivot Fibonacci points:
Resistance levels:
R1:1,163.00
R2: 1,170.60
R3: 1,182.90
Support levels:
S1: 1,138.40
S2: 1,130.80
S3: 1,118.50
Trading recommendations: Selling gold at this stage looks risky since price is near our support level
The material has been provided by InstaForex Company - www.instaforex.com
