Gold completes 61.8% Fibo retracment – Is it time to place a buy?
Arslan Butt • 1 min read
What’s up, fellas.
The precious metal gold came under selling pressure after surprising economic events from the United States. The Institute for Supply Management’s (ISM) non-manufacturing activity index jumped 3.1 points to 61.6 last month, the highest reading since August 1997. Moreover, the ADP employment report also showed private payrolls surged by 230K jobs in September, the largest gain since February.
Here’s a quick technical outlook:
- Gold has priced in the data and has completed 61.8% retracement at $1,196.
- 50 periods EMA is supporting the metal at $1,196.
- The doji candle above $1,196 is signaling a neutral sentiment of investors.
- The RSI is coming out of an oversold zone, which may drive buying in gold.
XAU/USD – Gold Trade Plan
Considering this, we have opened a forex trading signal to buy gold above $1,196 with a stop below $1,193 and take profit at $1,203. Good luck!