Gold Technical Analysis for July 27, 2016.

Technical outlook and chart setups:

Gold is seen to be trading at
$1,318.00/19.00 levels at the moment, after having hit lows at $1,311.500 yesterday.
Please note that the metal continues trading/drifting sideways in a tight range
between $1,315.00 and $1.323.00 levels respectively. The yellow metal might
still unfold a countertrend rally towards $1,350.00/60.00 levels going
forward, but needs to at least break above $1,330.00 levels to confirm. The
wave structure also indicates that the drop from $1,375.00 through $1,310.00
levels is an impulse (5 waves), and hence a countertrend rally is most probable to
unfold. Bulls would want to remain in control till prices stay above $1,310.00
levels going forward. Please also note that the metal might drop to
$1,305.00/07.00 levels, at the backdrop of the Fed event lined up today,
before reversing. It is hence recommended to remain long (aggressive trade
setup) for now with risk below $1,300.00 levels. Immediate support is seen at
$1,310.00 levels, while resistance is at $1,334.00 levels respectively.

Trading recommendations:

Remain long, stop below $1,300.00,
targeting $1,350.00.

Good luck!

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