Overview:
Since our last analysis, gold has been trading upwards, as we expected, the price rejected from our Fibonacci expansion 100% at the price of 1,284.00 on average volume. According to the Daily timeframe, we can observe indecision bar and strong bullish reactions in the background from our support 1,277.00 on higher volume, which is a sign that short-term selling looks very risky. According to the 1h timeframe, we can observe strong bullish bar on ultra high volume, which is another sign for potential bullish movement. We can conclude that the price of 1,305.00 (swing low) is strong resistance and just if the price breaks that level on hgiher volume we may see further bullish continuation. Be careful with selling since we got the second rejection from our Fibonacci zone.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,294.22
R2: 1,297.38
R3: 1,302.50
Support levels:
S1: 1,283.98
S2: 1,280.82
S3: 1,275.70
Trading recommendation: Trading the metal, be careful with short-term selling since we've got strong rejections from our Fibonacci ratios.
