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Daily analysis of Gold for July 14, 2016

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Overview

The gold price resumed its negative trading after testing the EMA50 this morning and headed towards our main awaited target at 1,303.58 – 1,297.75 levels. The current dynamic is supported by stochastic negativity that appears clearly on the four-hour time frame. It is important to monitor price behavior when reaching the targeted levels. A break will extend the bearish wave on the short-term basis to 1,249.95 that is represented by the 38.2% Fibonacci level for the upside track measured from 1,047.60 to 1,375.00.

In general, the negative scenario will remain valid for today unless breaching the 1,357.70 level and holding above it. The expected trading range for today is between the 1,303.58 support and the 1,357.70 resistance.

The material has been provided by InstaForex Company - www.instaforex.com