Overview:
Since our last analysis, gold has been trading upwards. As I expected, the price tested the level of $1.130.25 in a high volume. An intraday short-term trend is upward. So, selling looks very risky. In the daily time frame, I found demand in a volume above the average. We can see a test of 200 SMA. Also. the pair is trading well above all key MA`s (SMA 50,100,150,200) in the H4 time frame.The upward take-profit zone is established around the level of $1,134.00 (Fibonacci retracement 61.8%, daily SMA 200). If the price breaks the level of $1,134.00, we may expect potential testing of $1,182.00. In the M30 time frame, as I expected, buyers absorbed a massive volume spike (selling climax).
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,130.20
R2: 1,133.88
R3: 1,139.50
Support levels:
S1: 1,119.00
S2: 1,115.60
S3: 1,111.00
Trading recommendations: Watch for potential buying opportunities on dips.
The material has been provided by InstaForex Company - www.instaforex.com