Overview:

Since our last analysis, gold has been trading sideways, around the price of 1,291.00, we are still waiting for a larger movement. Our previous analysis is still active and we've got good progress. According to the daily chart, we can observe supply bar on volume below the average. Gold tested and rejected from our submajor Fibonacci retracement 38.2% at the price of 1,293.00. According to the short-term prospective Gold is in progress of bearish corrective phase and I've placed Fibonacci Retracement to find the first down station. I got Fibonacci Retracement 61.8% at the price of 1,263.00. If the price breaks the level of 1,279.00 on higher volume, we may see testing the level of 1,263.00, otherwise Gold may start larger bullish correction. According to the H1 timeframe, we can observe demand on higher volume and abcd bullish corrective form. I placed Fibonacci extension levels to find the potential end of bullish corrective phase and I have got Fibonacci extension 161.8% at the price of 1,295.00. If the Gold breaks the level of 1,295.00 on high volume, next resistance may be at the price of 1,302.00 (Fibonacci retracement 61.8%). Be careful with short-term buying and watch for selling opportunities after the bullish correction.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1,291.87

R2: 1,294.77

R3: 1,299.47

Support levels:

S1: 1,282.47

S2: 1,279.57

S3: 1,274.87

Trading recommendation: Trading the metal, be careful with short term buying at this stage since gold is in progress of bearish corrective phase. Watch for selling opportunities after retracement.