Overview:
Since our last analysis, gold has been trading downwards. The price tested the level of $1,181.31 in a high volume. A neutral bar in a very high volume is seen in the daily time frame, which is a sign that buyers lost power so sellers came in control and that is the reason of current bearish corrective phase in the gold chart. The M30 time frame shows that the bearish corrective phase is in progress, but I foresee a potential end of the bearish corrective phase at the level of $1,174.50. Since gold is still in an uptrend according to the lower time frames, watch for potential buying opportunities on dips. Resistance level is set at $1,200.40.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,196.70
R2: 1,199.80
R3: 1,204.85
Support levels:
S1: 1,186.60
S2: 1,183.50
S3: 1,178.45
Trading recommendations: watch for potential buying opportunities on dips.
