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.

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