Gold : analysis for November 11, 2014

Overview :

Since our last analysis, gold has been trading downwards. The price tested the level of 1,145.94 in a volume below the average. I have placed Fibonacci retracmeent from the most recent swings to find potential support levels. I got Fibonacci retracment 61.8% at the price of 1.149.00 (successful held). Be careful when selling gold and watch for potential buying opportunities. If the price breaks the level of 1,179.00 in a high volume and strong price action, we may see possible testing the level of 1,207.00.

Daily pivot Fibonacci points:

Resistance levels:

R1:1,173.10

R2: 1,180.36

R3: 1,192.13

Support levels:

S1: 1,149.56

S2: 1,142.30

S3: 1,130.53

Trading recommendations: Selling gold at this stage looks risky since we got strong rejection from Fibonacci retracmeent 61.8%.