Overview:
Since our last analysis, gold has been trading upwards. As we expected, the price went to test the level of $1,119.63. According to the daily time frame, we can observe a demand in a volume above the average. I found a strong trading range between the prices of $1,077.00 (support) and $1,108.00. According to the H1 time frame, we can observe strong demand (wide spread) in an ultra high volume (buying climax) in the background. Our resistance at the price of $1,119.00 is on the test agian. Watch for a potential breakout of our trading range to confirm further direction.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,116.56
R2: 1,122.58
R3: 1,132.50
Support levels:
S1: 1,096.84
S2: 1,090.76
S3: 1,080.90
Trading recommendations: Be careful when selling gold at this stage. Watch for a breakout of our trading range to confirm further direction. Buyers are in control in the short term today.
The material has been provided by InstaForex Company - www.instaforex.com