What is Gold Trading Sell Short and Buy Long?

In gold trading, there are two different types of gold trades, these two types are:

• Long (buy) - long is if the gold trend is buy/bullish - going long means opening a buy trade.
• Short (sell) - short is if the gold trend is sell/bearish - going short means opening a sell trade.

Buying/Long in XAUUSD Trading vs Selling/Short in XAUUSD Trading

Both terms Buy/Long and Sell/short in Gold Trading, refer to things that gold traders do when they open a gold trade.

Buying Long - gold trading term is used when buying - when opening a buy gold trade.

Selling short - gold trading is used when selling - when opening a gold sell trade.

Long - Going Long is another term used to refer to buying in gold trading, If a gold trader goes long it means that the trader buys the gold XAUUSD that is heading in an upward trend direction. When the xauusd price is moving in an upward gold trend the gold trend is referred to as bullish xauusd trend.

Short - Going Short is a term used to refer to selling of a gold XAUUSD that is going in a downward trend direction. When the xauusd price is going downwards then it is referred to as a bearish xauusd trend.

What it means is that the term, "selling short" can be used to refer to selling in the xauusd markets. Selling short is used to trade a gold XAUUSD that is predicted to depreciate in value - meaning that the xauusd price will likely head downwards for the gold XAUUSD, when this gold is sold then it is the same as not holding value in this gold instrument but holding the same value in another form against which this gold is traded against - mostly US Dollars.

Buy/Long

If the xauusd price is going up gold traders will buy XAUUSD, this is referred to as going long - Therefore long is just another name for buy. When the xauusd market trend is going up it is referred to as a bullish trend and this is when a gold buy trade is placed by a gold trader. A bullish gold trend is identified by drawing an upward gold trend line on a xauusd chart. The example illustrated and explained below shows a long/buy gold signal.

Buy/Long - Buy/Long Bullish Gold Trend - How to Open a Gold Trading Buy Order

Sell/Short

If the xauusd price is going down we sell XAUUSD, this is referred to as going short. When the xauusd market trend is going down it is referred to as a bearish xauusd trend. The example illustrated and explained below shows a downward gold trend, this is when a short sell trade is placed. The short/sell bearish trend is identified by drawing a downward gold trend line on a xauusd chart. The example illustrated and explained below shows a short/sell gold signal.

Sell/Short - Gold Trading Sell Trade - How to Open a Gold Sell Trade Order

XAUUSD Charts

A gold chart provides a visual representation of gold prices (drawn on the y-axis) against time (drawn on the x-axis) for gold. The movement of gold prices is drawn on these gold charts. The gold chart can be drawn as candlestick gold charts like the ones shown below or as line gold charts or as bar gold charts.

Gold Chart - Candlesticks XAUUSD Charts - Gold Candlesticks Chart

The three most commonly used types of gold charts used in gold trading are:

• Candlesticks Gold Charts
• Line Gold Charts
• Bar Gold Charts

These 3 different types of Gold Charts are covered in the topic Gold Chart Types.

XAUUSD Trading Platform

This is the gold trading software that is provided by a gold broker to help gold traders place their xauusd trades. Once you download and install this gold trading software platform on your computer you can then begin to trade gold in the Gold Trading market/b>. All gold trading transactions are executed through this gold trading platform. If you want to learn about gold trading platforms, MT4 Gold Trading Platform is a good gold trading platform to start with. Traders can also us mobile phone gold trading apps to place these xauusd trades.

To set these gold orders you as the gold trader will open the MT4 Gold Trading Platform, open a "gold chart", right click on the "gold chart", select "New Order" button, then select the xauusd order - either sell or buy as shown below. (Keyboard Short Cut Keys - Press F9 Key)

Setting Buy Long Gold Trades and Sell Short Gold Trades on MT4