Overview :
Since our last analysis, gold has been trading sideways around the price of 1,195.00. We are still waiting for a larger activity on the market and stronger price action. I placed Fibonacci retracement to find potential support levels and got Fibonacci retracement 61.8% at the price of 1.195.00 (currently on the test). According to the 1H time frame, we can observe weak supply on the market, which is a sign that selling gold at this stage looks risky. My advice is to watch for potential buying opportunities near the lows. Any larger demand in a high volume may confirm further bullish phase. According to the daily time frame, we can observe supply in an ultra low volume.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,195.96
R2: 1,296.44
R3: 1,197.20
Support levels:
S1: 1,194.44
S2: 1,193.96
S3: 1,193.20
Trading recommendations: Watch for potential buying opportunities after retracement (buy on the lows).
The material has been provided by InstaForex Company - www.instaforex.com
