Overview:
Since our last analysis, gold has been trading downwards. As we expected, the price tested the level of $1,122.67. According to the daily time frame, we can observe a weak supply bar (no-supply bar) in a volume below the average. Watch only for selling opportunities after retracement. Strong support is found at the level of $1,117.50. If the price breaks this support level, we will get the second support around $1,085.00. According to the H1 time frame, we can observe sign of weakness (supply coming in). Anyway, in the background we got a potential stopping volume with low at the price of $1,122.00. I would like to see a breakout of that area to confirm further downward. The trend is strong in favor of sellers so buying looks risky. Be careful of the news relases today and trade safe.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,130.45
R2: 1,133.45
R3: 1,138.00
Support levels:
S1: 1,121.00
S2: 1,117.65
S3: 1,113.00
Trading recommendations:
There is weak demand today on the market but stopping volume from yesterday is still in the play at the price of $1,122.00.
