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Gold analysis for May 24 , 2016

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Since our previous analysis, gold has been trading downward. The price tested the level of $1,240.87 in a high volume. According to the 15M time frame, I found strong downward momentum and I found no demand bars. Buying Gold at this stage looks very risky. The support at the price of $1,243.00 has been taken out and I expect downward continuation. Targets are set at the price of $1,237.50 and $1,231.60.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,251.25

R2: 1,252.20

R3: 1,253.80

Support levels:

S1: 1,248.10

S2: 1,247.00

S3: 1,245.60

Trading recommendations for today: Strong downward momentum on the market. Be careful when buying and watch for selling opportunities on the pullbacks.

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