Since our previous analysis, gold has been moving downwards. As I expected, the price tested the $1,227.28 level in a high volume. According to the daily time frame, I found strong downward pressure in a high volume. The bar closed at the low, which is a sign that buying looks very risky. According to the 30M time frame, I found a broken corrective upward channel, which is a sign that buying looks risky. I also found few no demand bars and that is a clear sign for me that there is no professional interest today for a higher price on Gold. Watch for selling opportunities. First take profit level is set at the price of $1.127.00.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,234.30
R2: 1,234.70
R3: 1,235.40
Support levels:
S1: 1,232.90
S2: 1,232.50
S3: 1,231.80
Trading recommendations for today: be careful when buying and watch for potential selling opportunities.
