Overview:
Since our last analysis, gold has been trading downwards. As we expected, the price tested the level of 1,291.97 in a high volume according to the 4H timeframe. According to the daily timeframe, we can observe supply in a high volume, which is a sign that buying at this stage looks risky. Now, we are in a bearish corrective phase, so be careful with buying. Our first support level at the price of 1,305.00 has been reached. So, we may expect testing the level of 1,282.00 (Fibonacci retracement 61.8%). According to the 4H timeframe, we can observe weak demand, which is a sign that we may see more downward movement.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,309.70
R2: 1,314.84
R3: 1,323.17
Support levels:
S1: 1,293.04
S2: 1,287.90
S3: 1,279.57
Trading recommendation: Be careful with buying Gold since it is in a bearish corrective phase.
