Overview:
Since our last analysis, gold has been trading downwards. The price tested the level of 1,283.25 in a volume above average. Our Fibonacci expansion 61.8% at the price of 1,284.00 is broken. So, we may see potential testing the level of 1,260.00 (Fibonacci expansion 100%). I have placed Fibonacci retracement to find potential resistance levels and I got Fibonacci retracement 38.2% at the price of 1,292.00 and Fibonacci retracement 61.8% at the price of 1,303.00. According to the 1H time frame, we can observe absorption volume in the background, which is a sign that buying looks risky. Watch for potentaial selling opportunities.
Daily pivot Fibonacci points:
Resistance levels:
R1: 1,295.91
R2: 1,299.35
R3:1,304.93
Support levels:
S1: 1,284.75
S2: 1,281.31
S3: 1,275.73
Trading recommendations: Buying Gold looks risky since the price has broken the support level.
