XAU/USD: Fibonacci analysis

December 31, 2015

A fall could continue.

As it can be seen on the 4-hour chart, the price was falling along the 61.8% arc for two weeks. On Thursday, it obstructed the 61.8% fan line and tried to correct up. It currently reached the 61.8% arc again and is likely to resume the fall toward the level of 1058.80 (23.6% correction). Its breakdown would allow the pair to fall to 1050.50. In case of a price rebound from the level of 1058.80, around its crossover with the arc and fan line, the pair could grow towards 1063.95 (38.2% correction) and 1068.05 (50% correction).

On the daily chart, the price is heading to the level of 1051.10. However, in case of a price reverse and a breakout of the level of 1068.05, in the medium-term the pair could grow towards 1082.80 (23.6% correction).

Trading tips

Short positions can be opened from current prices with targets at 1058.80, 1050.50 and stop-loss at 1063.00.

Alternative scenario

Pending buy orders can be placed at the level of 1058.80 with targets at 1063.95, 1068.05 and stop-loss at 1055.00.

Publication source
LiteForex information  LiteForex reviews

January 23, 2017
Can Supreme Court Ruling Help GBPUSD Remain Bullish ?
Tomorrow, Tuesday 24 January, around 09:30 GMT, the UK Supreme Court will release the Brexit lawsuit Ruling, on whether the UK Prime Minister Theresa May will need the UK parliament’s approval to invoke Article 50 of the Lisbon Treaty, to leave the EU...
January 20, 2017
Cautious EURUSD Ahead of ECB Press Conference
USD, and the US government bond yields, surged last night following Fed president Janet Yellen’s speech to the Commonwealth Club in San Francisco...
January 19, 2017
Is equilibrium out of reach?
Let’s check what’s going on with Oil before turning our attention to the Russian Ruble. “Black gold” is forming a reversal pattern next to the key level of 52.10. The only matter is that this pattern is above the horizontal level, but the 52.10 level can potentially become the neckline of our pattern...

XM Rating
FXCM Rating
Z.com Trade Rating
Larson&Holz IT Ltd Rating
EXNESS Rating
FxPro Rating

Beeoptions Rating
Porter Finance Rating
First Binary Option Service Rating
OptionRally Rating
OptionFair Rating
TopOption Rating