How to Identify XAUUSD Breakout Pattern

A range consolidation pattern is a range with narrow price action that forms a consolidation period in market. The range is defined by 2 parallel trend lines which are horizontal and these trend lines indicate the presence of support levels & resistance levels at this particular area. Range consolidation chart pattern is drawn on a chart using a range, therefore, the name gold range chart pattern.

For this gold consolidation chart pattern, price forms a series of highs and lows that can be connected with horizontal trendlines that are parallel to each other. Range consolidation pattern forms over an extended period of time giving this chart pattern its range shape.

Flat Top Breakout Pattern - A gold breakout of price action from this range consolidation chart pattern forms when either of the horizontal line is penetrated & the range of this range pattern is broken. An up side price break out is a buy signal. A downside price break out is a sell signal.

Flat Top Breakout Pattern - How to Trade Breakouts - How to Identify XAUUSD Breakout Pattern - XAUUSD Breakout Pattern Method

Price Breaks Out of the range consolidation pattern after a period of time and price continues to move upward after an upward price break out.

Flat Top Breakout Pattern - How to Trade Breakouts - How to Identify XAUUSD Breakout Pattern