Overview :
Since our last analysis gold has been trading upwards. As we expected, the price has tested the level of 1,293.93 in a high volume. I have placed Fibonacci retracement to find potential resistance levels and got Fibonacci retracement 61.8% at the price of 1,292.00 (currently on the test). According to the H4 time frame, we can observe demand in a high volume, which is a sign that selling looks risky. Be careful when selling gold and watch for potential buying opportunities on the lows. If the price breaks the level of 1,292.00 in a high volume and strong price action, we may see potential testing of the level of 1,344.00 (swing high like resistance).
Daily pivot Fibonacci points:
R1: 1,278.64
R2: 1,280.30
R3: 1,282.97
Support levels :
S1: 1,273.30
S2: 1,271.64
S3: 1,268.97
Trading recommendations: Watch for potential buying opportunities after retracement (buy on the dips).
The material has been provided by InstaForex Company - www.instaforex.com
