FX.co ★ Gold analysis for January 13, 2014

Overview :

Since our last analysis gold has been trading upwards. As we expected, the price tested the level of 1,243.97 in a volume above the average. According to the H4 time frame, we can observe demand on the market, which is a sign that selling gold at this stage looks risky. We may expect testing the levels of 1,255.00-1,265.00. Be careful when selling gold and watch for potential buying opportunities on the lows.

Daily pivot Fibonacci points:

Resistance levels:

R1: 1,235.84

R2: 1,240.20

R3: 1,247.27

Support levels:

S1: 1,221.70

S2: 1,217.37

S3: 1,210.10

Trading recommendations: Watch for potential buying opportunities after retracement (buy on the lows).