FX.co ★ Gold analysis for January 23, 2014

Overview :

Since our last analysis gold has been trading sideways around the price of 1.295.00. I have found support around the price of 1,281.00 (swing high like support), and this level is successfully resisted. According to the H4 time frame, we can observe weak supply in a volume below the average, which is a sign that selling gold at this stage looks risky. Be careful when selling gold and watch for potential buying opportunities on the lows. We have resistance levels at the price of 1,304.00 and 1,344.00.

Daily Fibonacci pivot points :

Resistance levels :

R1: 1,306.83

R2: 1,313.61

R3: 1,324.57

Support levels :

S1: 1,284.91

S2: 1,278.31

S3: 1,267.17

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