Gold has been trading sideways at the price of $1.284.00 as we expected. Key support at the price of $1.280.0 is on the test.
According to the Daily time-frame, we found critical support at the price of $1.280.00. The level of $1.280.00 is the 48-day low and the neckline from the head and shoulders pattern in the background, which makes this level even more important because it is confirming different kind of supports. We are waiting for potential breakout of the $1.280.00 to open sell deals. Key supports are found at the price of $1.258.20 (Fibonacci expansion 100%) and $1.218.00 (Fibonacci expansion 161.8%). Key resistance is seen at the price of $1.324.00.
Trading recommendation: We are waiting for potential breakout of the $1.280.00 to look for sell opportunities with targets at $1.258.20 and $1.218.00.The material has been provided by InstaForex Company - www.instaforex.com