Since our last analysis, gold has been trading downwards. As I had expected, the price tested the level of $1,066.68. In the daily time frame, I found a supply bar and rejection from the SMA10. Our strong support around the levels of $1,075.00-$1,080.00 has become strong resistance (changing polarity) now. In the M30 time frame, our diagonal trend line got broken today, so watch for intraday selling opportunities. I also spoted strong rejection from Fibonacci retracement 50% at the level of $1,074.00. Intraday support is found at $1,065.00. Next strong daily support is seen around the level of $1,046.00. The breakout in a high volume ($1,065.00) will confirm the further downside continuation.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,073.30
R2: 1,074.50
R3: 1,076.50
Support levels:
S1: 1,069.50
S2: 1,068.30
S3: 1,066.40
Trading recommendations: Be careful when buying gold since I saw a breakout of the diagonal trend line. Watch for potential selling opportunities.
The material has been provided by InstaForex Company – www.instaforex.com
Overview:
Since our last analysis, gold has been trading downwards. As I had expected, the price tested the level of $1,066.68. In the daily time frame, I found a supply bar and rejection from the SMA10. Our strong support around the levels of $1,075.00-$1,080.00 has become strong resistance (changing polarity) now. In the M30 time frame, our diagonal trend line got broken today, so watch for intraday selling opportunities. I also spoted strong rejection from Fibonacci retracement 50% at the level of $1,074.00. Intraday support is found at $1,065.00. Next strong daily support is seen around the level of $1,046.00. The breakout in a high volume ($1,065.00) will confirm the further downside continuation.
Daily Fibonacci pivot points:
Resistance levels
R1: 1,073.30
R2: 1,074.50
R3: 1,076.50
Support levels:
S1: 1,069.50
S2: 1,068.30
S3: 1,066.40
Trading recommendations: Be careful when buying gold since I saw a breakout of the diagonal trend line. Watch for potential selling opportunities.
The material has been provided by InstaForex Company – www.instaforex.com
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