Overview:
Since our last analysis, gold has been trading sideways, around the price of 1,331.00 on high volume, our previous analysis is still active and buying at this stage looks risky. The Gold is around our critical resistance area, the price of 1,338.00. We got FR 61.8% at the price of 1,338.00 and if that level can hold, we may see potential bearish movements. According to daily chart, we can observe supply on volume above the average, which is a sign that buying at this stage looks risky. According to H4 chart, we can observe supply in the background and weak demand. My advice is to watch for potential bearish movements after retracement. I've placed Fibonacci levels to find potential down stations and I got submajor Fibonacci retracement 38.2% at the price of1,309.00 and Fibonacci retracement 61.8% at the price of 1,282.00.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,348.41
R2: 1,353.43
R3: 1,361.57
Support levels:
S1: 1,332.13
S2: 1,327.11
S3: 1,318.97
Trading recommendation: Trading the metal, be careful with buying since Gold is around critical area and we are also near the high new ground.
