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Gold analysis for January 05, 2017

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Recently, gold has been trading upwards. As I expected, the price tested the level of $1,179.15 in a high volume. According to the 30M time frame and using the market profile, I found yesterday's point of control at the price of $1,165.15. Intraday trend is bullish and my advice is to watch for buying opportunities on the dips. I have placed Fibonacci expansion to find potential upward targets. I got Fibonacci expansion 161.8% at the price of $1,184.00. There is also an upward channel, which is a sign that buyers are in control. A good level for potential long positions is set at the price of $1,167.50.

Resistance levels:

R1: 1,165.00

R2: 1,167.70

R3: 1,170.40

Support levels:

S1: 1,158.40

S2: 1,156.30

S3: 1,153.30

Trading recommendations for today: Watch for potential buying opportunities.

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