Overview:
Since our last analysis, gold has been trading sideways around the level of $1,093.00. According to the daily time frame, we can observe weak supply and small real body. According to the H1 time frame, a fake breakout of our support level at $1,086.00 is taking place in the background. The price got back into our trading range between the levels of $1,086.00 and $1,118.00. I placed Fibonacci retracement to find potential resistance levels and got Fibonacci retracement 38.2% at the level of $1,127.00, Fibonacci retracement at 50% at the price of $1,141.00, and Fibonacci retracement 61.8% at the level of $1,157.00.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,099.00
R2: 1,102.00
R3: 1,106.50
Support levels:
S1: 1,090.50
S2: 1,087.30
S3: 1,083.00
Trading recommendations: Be careful when selling gold at this stage since we have a fake breakout in the background.
The material has been provided by InstaForex Company - www.instaforex.com