FX.co ★ Gold analysis for October 30 , 2015

Overview:

Since our last analysis, gold has been trading downward. As we expected, the price tested the level of $1,144.60. The intraday and short-term trends changed from upward to downward. In the daily time frame, we can observe a strong supply bar in a high volume. In the H1 time frame, we can observe a successful rejection from our strong resistance level at the price of $1,162.00. Besides, according to the H1 time frame, we can observe weak demand bars, which is a sign that buying looks risky. Watch for selling opportunities. Major daily support is at the price of $1,104.00.

Daily Fibonacci pivot points :

Resistance levels

R1: 1,157.90

R2: 1,162.00

R3: 1,168.50

Support levels:

S1: 1,144.90

S2: 1,140.80

S3: 1,134.30

Trading recommendations: Be careful when buying gold at this stage and watch for potential selling opportunities.