FX.co ★ Technical analysis of Gold for January 23, 2015

Technical outlook and chart setups:

Gold has made another high at $1,308.00 levels and is seen trading below $1,300.00 mark for now. The metal might be preparing for a pullback lower towards $1,250.00 levels, as it was discussed yesterday. Immediate support is seen at $1,280.00, followed by $1,250.00/60.00, $1,230.00 and lower, while resistance is seen at $1,312.00, followed by $1,330.00/40 and higher respectively. As depicted here, the rally which begun from $1,170.00 levels is reaching its Fibonacci 1.618 extension levels at $1,312.00 for now. If Gold pushes further, it would challenge the $1,330.00/40 mark which is a major resistance. Either way a pullback could happen now or after hitting $1,340.00 levels. The metal is a clear buy on dips.

Trading recommendations:

Buy on dips for now.

Good luck!