Overview:
Since our last analysis, gold has been trading downwards. As I expected, the price tested the level of $1,059.94. In the daily time frame, I found a weak demand bar and rejection from our SMA 10. Our strong support around the levels of $1,075.00-$1,080.00 has become the strong resistance (changing polarity) now. In the M30 time frame, as I expected, the price reacted from intraday resistance of $1,074.00 (strong intraday resistance). Intraday support is seen around the level of $1,053.00. The next strong daily support is seen around the level of $1,046.00.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,073.35
R2: 1,076.00
R3: 1,080.30
Support levels:
S1: 1,064.80
S2: 1,062.15
S3: 1,057.90
Trading recommendations: Be careful when buying gold because we have a strong rejection from our resistance and gold is in the strong downward trend. Watch for potential selling opportunities.
