Overview :
Since our last analysis gold has been trading upwards. As we expected, the price tested the level of 1,230.89 in a volume below the average. According to the H4 time frame, we can observe that weak supply has entered the market, which is a sign that selling gold at this stage looks risky. I have placed Fibonacci retracement to find potential support levels and got Fibonacci retracement 38.2% at the price of 1,207.00 and Fibonacci retracement 61.8% at the price of 1,191.00. Be careful when selling gold and watch for potential buying opportunities on the lows.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,226.41
R2: 1,227.25
R3: 1,228.63
Support levels:
S1: 1,223.65
S3: 1,121.41
Trading recommendations: Watch for potential buying opportunities after retracement (buy on the lows).
The material has been provided by InstaForex Company - www.instaforex.com
