Gold loses momentum – Analysis - 26-08-2016

Gold price shows sideways trading after testing 1320.00 level, noticing that stochastic loses its positive momentum gradually heading towards the overbought areas, which supports the chances of resuming the bearish bias on the intraday basis, which targets testing 1310.65 and 1297.75 levels mainly.

We remind you that the main trend still bullish, and the current decline is considered as temporary decline unless breaking the above mentioned levels followed by opening the way to extend the bearish correction towards 1249.95, noting that breaching 1359.00 level will stop the negative overview and push the price to return to the main bullish trend again.

Expected trading range for today is between 1297.75 support and 1340.00 resistance.

Expected trend for today: Bearish