Gold Technical Analysis for August 03, 2016.

Technical outlook and chart setups:

Gold had hit yet another intraday
high at $1,367.00/68.00 levels yesterday and it should be looking to
pullback/reverse from here, but it needs to break below $1,360.00 levels to
confirm. Please note that the metal is trading around $1,364.00/65.00 levels at
this moment, having carved out a lower high at $1,367.00. Also note that it has
reversed from the fibonacci 0.786 levels of the drop between $1,375.00 through
$1,310.00 levels earlier. The wave structure also indicates that the drop from
$1,375.00 through $1,310.00 levels is impulse (5 waves) and a 3 wave counter
trend rally is also complete. Bears are expected to remain in control from
current levels going forward and only a break above $1,375.00 levels would
delay matters. It is hence recommended to remain short for now. Immediate
support is seen at $1,347.00 levels, while resistance is at $1,375.00 levels
respectively.

Trading recommendations:

Remain short now, stop above
$1,375.00, target is open.

Good luck!

The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com