Since our previous analysis, gold has been trading sideways at the price of $1,249.00. According to the M1 time frame, I found a massive volume spike (selling climax), which is a sign of strength. A wide-spread bearish bar is in an ultra-high volume, but notice that the bar closed in the middle. If professional traders are bearish, the bar should not close in the middle, especially not in an ultra-high volume. This is a potential accumulation phase by professional money. So, watch for buying opportunities on dips. The take profit level is set at the price of $1,251.30.
Daily Fibonacci pivot points:
Resistance levels:
R1: 1,253.20
R2: 1,254.00
R3: 1,255.40
Support levels:
S1: 1,250.40
S2: 1,249.60
S3: 1,248.00
Trading recommendations for today: Massive volume spike (selling climax). Selling looks very risky. Watch for buying opportunities.
