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Gold analysis for June 16, 2015

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Overview:

Gold has been trading sideways around the price of $1,183.00. In the daily time frame, we can observe a bullish bar in a volume below the average. In the H1 time frame, we can observe another buying climax in the background, which is a sign that buying gold at this stage looks risky. Anyway, I am neutral on this pair since we got major support around the levels of $1,168.00 and $1,162.00. Since we got strong buying climax in the background and fail absorption volume, bearish side is more possible.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,189.60

R2: 1,193.90

R3: 1,200.00

Support levels:

S1: 1,175.65

S2: 1,171.35

S3: 1,164.35

Trading recommendations: Buying climax around the price of $1,184.00 is in the background. Buying gold at this stage looks risky.

The material has been provided by InstaForex Company - www.instaforex.com