Overview:
Since our last analysis, Gold has been trading sideways around the price 1,283.00, we are still waiting for larger move and testing the level of 1,151.00. I placed new Fibonacci expansion levels to find the potential end of up corrective phase. Thus, I got FE 100% at price 1,295.00 and if that level holds, we may see a down continuation. We are still likely to see testing of the weekly FE level 161.8% at price 1,151.00. I saw no demand bar on volume below the average, according to the daily which is the sign that current demand is weak. The current situation on (4H) is that we got buying climax (ultra high volume up bar). That is the sign that Gold may continue its down movement. If the price does not reject from our FE 100% (1,295.00), we may see testing of previous SR zone (blue shape) at price 1,320.00 and then continuation with down movement. Since we are in the short-term downtrend and observe a buying climax (4H chart) with weak demand on the daily chart, buying Gold looks very risky and I advise you to watch for selling opportunities.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,292.24
R2 : 1,294.62
R3 : 1,298.48
Support levels:
S1 : 1,284.52
S2 : 1,282.14
S3 : 1,278.28
Trading recommendation: Operating with the metal, be careful with short-term buying and look for selling opportunities. My recommendation for down short-term target is 1,151.00.
