Gold bulls have enjoyed a big relief bounce from $1,763 low to $1,843. My bounce expectations where not that optimistic, but the market knows better. Gold price has reached just below the major resistance that was once major support. The $1,850 area is important resistance and a rejection here could be the start for the next downward move.


Blue rectangle – major resistance

Gold price today reached $1,843 but price is making new intraday lows at $1,823. Bears want to see price continue lower towards $1,800 and break again below it. Bulls on the other hand need to defend $1,800 and gather momentum for a break above $1,850.


Black lines – Fibonacci retracements

Gold price could start a pull back or a new downward move from current levels. First important short-term support is found at the 38% Fibonacci retracement at $1,812. Next support is at $1,804 and finally at $1,794 we find the crucial 61.8% Fibonacci level. To be precise bulls need to defend the 61.8% retracement. Bears need to break below it. Selling near resistance ($1,850-60) is preferred currently as price could start its next leg downwards towards $1,725-$1,750. Bulls should better wait for a pull back towards $1,800 in order to try a new long position.

The material has been provided by InstaForex Company –

Leave your vote

🚀If you want to get a Forex Robot Coded as per your trading strategy but are unable to do so because of the high price for the Robot then you can take advantage of the CROWD FUNDING campaigns feature. ✔ These are some crowd funding campaigns for Forex Robots, which when completed can provide the very same Forex Robot to the participants at an average price of $5-$10 per participant. ✔ You either participate in one of the already listed campaigns or send us your Forex strategy : Submit Crowd Funding Campaign , for which you would like the Forex Robot to be coded. A Crowd Funding Campaign would then be started for the same . ✔ All you have to do later on is to share the campaign online with your friends to encourage more people to participate in the campaign.

As a result, each participant can get that Forex robot for just a campaign contribution of $5 (which is the minimum). Participants can back the campaign by anything above or equal to $5 to reach the funding goal to close the campaign.