Gold Technical Analysis: Outlook neutral despite post-Fed rally

Dovish comments by Fed's Powell lifted gold by $12.
The yellow metal is still stuck in a sideways channel.

Omkar Godbole FXStreet Contributor

Gold's short-term outlook remains neutral with prices trapped in a sideways channel.

The yellow metal jumped from $1,467 to $1,479 after Federal Reserve's President Powell sent the US dollar lower by mentioning high inflation as a prerequisite for rate hikes.

While the post-Fed rise is impressive, a bullish breakout is still not confirmed.

Moreover, gold is still trading within the sideways channel represented by trendlines connecting Nov. 12 and Nov. 26 lows and Nov. 20 and Dec. 4 highs.

A close above the upper edge of the channel, currently at $1,488, is needed to confirm a channel breakout.

On the flip side, a close below $1,455 would confirm channel breakdown and imply a resumption of the sell-off from September's high of $1,557.

Daily chart

Trend: Neutral

Technical levels

XAU/USD

Overview
Today last price	1474.9
Today Daily Change	-0.24
Today Daily Change %	-0.02
Today daily open	1475.14

Trends
Daily SMA20	1466.35
Daily SMA50	1480.72
Daily SMA100	1488.62
Daily SMA200	1407.7

Levels
Previous Daily High	1478.6
Previous Daily Low	1462.8
Previous Weekly High	1484.06
Previous Weekly Low	1454.05
Previous Monthly High	1515.38
Previous Monthly Low	1445.8
Daily Fibonacci 38.2%	1472.56
Daily Fibonacci 61.8%	1468.84
Daily Pivot Point S1	1465.76
Daily Pivot Point S2	1456.38
Daily Pivot Point S3	1449.96
Daily Pivot Point R1	1481.56
Daily Pivot Point R2	1487.98
Daily Pivot Point R3	1497.36

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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