Overview:
Since our last analysis, gold has been trading upwards, the price tested the level of 1,325.06 on high churn volume (weak demand). Gold is still in major bullish corrective phase, but we may see possible end of that bullish corrective phase. We can observe decreasing volume on upper leg,which is a sign that we may see possible bearish movement. The price rejected from our FR 61.8% (1,324.00) Be careful with buying at this stage since we have got decreasing volume on upper leg and Gold is near high new ground. I placed Fibonacci retracement levels to find possible down stations and i got FR 38.2% at the price of 1,297.00 and FR61.8% at the price of 1,274.00. I also placed Fibonacci expansion levels to find the very first down stations and i got FE 61.8% at the price of 1,313.00 and FE 100% at the price of 1,306.00. Our advice is to watch for potential bearish movement.
Daily pivot Fibonacci points :
Resistance levels:
R1: 1,327.20
R2: 1,331.10
R3: 1,337.40
Support levels:
S1: 1,314.60
S2: 1,310.70
S3: 1,304.40
Trading recommendation: Trading the metal, be careful with buying since we got decreasing volume on upper leg and Gold is near high new ground.
