Overview :
Since our last analysis, gold has been trading sideways around the price of 1,200.00. We are waiting for a larger volume and stronger price action. According to the daily time frame, we can observe weak demand in a volume above the average, which is a sign that we may see possible reaction from sellers (potential bearish corrective phase). Be careful when buying gold at this stage since our Fibonacci retracement 61.8% is on the test. Anyway, my advice is to watch for potential buying opportunities after a bearish corrective phase (buy on the low).
Daily pivot Fibonacci points:
Resistance levels:
R1:1,202.80
R2: 1,207.86
R3: 1,216.03
Support levels:
S1: 1,186.46
S2: 1,181.40
S3: 1,173.23
Trading recommendations: Buying gold at this stage looks risky since we may see reaction from sellers.
The material has been provided by InstaForex Company - www.instaforex.com
