Recently, Gold has been trading downwards. As I expected, the price tested the level of $1,229.97. According to the 1H time frame, I found a bullish divergence on the moving average oscillator, which is a sign that selling looks risky. There is also a divergent bar, which is another sign of a potential strength. My advice is to watch for potential intraday buying opportunities. I have placed Fibonacci expansion to find potential targets. The first target is set at the price of $1,239.00 and the second target is set at the price of $1,243.35.
Trading recommendations for today: watch for potential buying opportunities due to bullish divergence in the background.
The material has been provided by InstaForex Company – www.instaforex.com
Source:: Gold analysis for March 06, 2017