Overview :
Since our last analysis, gold has been trading downward. The price tested and rejected from the level of 1,190.49. Our corrective Fibonacci expansion 161.8% at the price of 1.195.00 has been held successfully, which caused price to start with aupward movement. I placed Fibonacci retracement to find potential support levels and got Fibonacci retracement 61.8% at the price of 1,179.00. My advice is to look for buying opportunities near the lows (after retracement). According to the 1H time frame, we can observe no selling pressure around the level of 1,190.00 and strong reaction from buyers in a very high volume. So, selling gold at this stage looks risky, watch for potential buying oppoprtunities.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,220.87
R2: 1,228.83
R3: 1,241.70
Support levels:
S1: 1,195.13
S2: 1,187.17
S3: 1,174.30
Trading recommendations: Watch for potential buying opportunities after retracement (buy on the lows).
The material has been provided by InstaForex Company - www.instaforex.com
