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Gold Technical Analysis for August 02, 2016.

Technical outlook and chart setups:

Gold has hit yet another intraday high at $1,360.00/61.00 levels today and it should be looking to pullback/reverse from here on. Please note that the metal is trading around $1,359.00/50.00 levels at this moment, having carved out a lower high at $1,360.00. Please note that the metal has now tested 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 has also now completed. Bears are expected to remain in control from current levels going forward. It is hence recommended to exit long for now and turn short. Immediate support is seen at $1,333.00 levels, while resistance is at $1,363.00 levels respectively.

Trading recommendations:

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

Good luck!

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