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Gold analysis for January 29, 2016

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Overview:

Since our last analysis, gold has been trading sideways at the level of $1.114.00. An intraday short-term trend is neutral, but the short term trend is upward. It seems like that our strong support at the price of $1,109.00 held very successful.Also. the pair is trading well above all key MA`s (SMA 50,100,150,200) according to the H4 time frame. The take-profit zone is established around the level of $1,134.00 (Fibonacci retracement 61.8%, daily SMA 200). In the 30M time frame, I found a massive volume spike (selling climax) and successfully test of supply, which is a sign that selling looks risky. Watch for buying opportunities on dips.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,122.90

R2: 1,126.65

R3: 1,133.70

Support levels:

S1: 1,110.75

S2: 1,107.00

S3: 1,100.95

Trading recommendations:Trading recommendations: watch for potential buying opportunities on dips.

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