Technical analysis of gold for December 2, 2016

Gold remains in a bottoming process and inside the bearish short-term channel, without any confirmation yet of a trend reversal. Could the NFP numbers announced today be the reason to start the reversal? Maybe, either way Gold bulls need to be patient.

Black lines - bearish channel

Gold price bounced off the lower channel boundary. Price is testing short-term resistance at $1,180 where the 4-hour kijun-sen is found. Price remains below the Ichimoku cloud. An exit above the channel and the cloud will be the first important bullish reversal. So bulls need to break above $1,200 to confirm breakout and trend reversal.

Nothing new on a weekly level. Price is at important long-term support and should reverse higher from current levels. Gold is expected to make a very important long-term low and start a new up trend towards new highs above $1,375.The material has been provided by InstaForex Company - www.instaforex.com