Examples Templates
When developing your own system, there are a couple of factors & aspects to keep in mind. Your strategy needs to be able to spot new market trends, while at the same time making sure you do not to get faked out/whipsaws. The real trick is, once you have developed a trade system which works for you, stick to it. Being disciplined will help you a lot in becoming successful in xauusd.
Before Gold on a real account, you've to figure out what strategy works for you. It's good to know in what chart timeframe you are going to be working in, & how much you're willing to risk once you begin trading online. All these should be factored in, and should be written down within your xauusd plan. A good place to test this gold plan would be on a free demo account. This is where you test your strategies risk-free without depositing money to identify which trading strategy is best suited for you.
So, now how can a gold trader like you create a "good trade system" or the "best system"?
To create a good strategy the first thing to do is to define your main aim or goal:
The following examples illustrates a goal & explains the guide-lines of how to achieve that goal
Trading System Goals
1.Identify a new trend
MA crossover method strategy is the most often used method to identify a new trend. Time to open a long or short trade is determined when 2 MAs indicators cross over or cross under each other.
2.Confirm the new trend
RSI(RSI) Indicator and Stochastic Indicator are the most commonly used indicators to confirm a trend.
Indicator based Trading Strategy
The best type of a method is one that is indicator-based. You will find it straight forward to generate the trading signals & thus less error-prone on your part and this will help you to avoid market whipsaws.
There are several things we want to achieve when developing a trading system:
- Find entry points as early as possible.
- Find exit points securing maximum gains.
- Avoid fake entry and exit signals.
- Proper Trade Money Management Rules
Finishing these four trading objectives will result in a profitable strategy that works.
The last piece of information needed, is deciding how aggressive you are going to be when entering & exiting and getting out of a trade. Those traders that are more aggressive wouldn't wait until the chart candlestick closes & would enter as soon as their indicators match up. But many traders would wait until the xauusd chart candlestick of the chart timeframe they are using has closed, to have more stable signal when entering the market.
To earn profit out of the market you as a trader need to build your own profitable system: a method which will generate profitable signals. You need to have your own trading strategy that will help you achieve your financial goals. Sometimes the best trading systems are the ones which you build on your own. No need for you to keep searching online for the best trading systems or for systems that work, this website provides you with all the tools required to help you and tutorial you on how to create your own systems.
Below is example of a trade system depending on RSI, MACD and Stochastic.
Gold System - Best MT4 Examples Systems
The system example revealed above is comprised of 4 indicators in total, all of these generate trade signals using various different methods, the Moving Average will generate trading signals using the MA crossover method shown, the RSI indicator, Stochastic and MACD indicator use different technical analysis to generate the long and short sell signals as cited in the above illustration. How to generate these signals is discussed in the next topic (on sidebar navigation study trading tutorials menu under key concepts).
For beginner traders, it's difficult for them to come up with their own trading strategies since they do not have much knowledge about the market. However, this learn website will explain how a beginner trader can create their own free system in just 7 easy guide-lines. Best strategy is one you create yourself & learn how to trade the market with it.
The main advantage of creating your own free systems is that you will know how to make profits by yourself - and not rely on other peoples efforts.
In the next gold course located at the side-bar navigation learn lessons menu below the gold key concepts will explain to you how to create a trade system like that one above, write it's xauusd rules & how to back test the trade system on a practice practice trade account before using it on a real account.
Best MT4 Examples Systems
Gold Strategies
The MA indicator cross over method uses 2 moving averages to generate signals. First MA uses a shorter period and the second is a longer period.
MA Crossover Technique - Moving Average Cross over Method
This above method is referred to as the moving average crossover method because signals get generated when the two averages cross above or below each other.
Trading System Examples - Short and Long signal Generated by Strategy
A buy trade signal or going long trade is generated when the shorter moving average indicator crosses above longer moving average indicator (Both Moving Averages Going and Heading Upward).
A sell signal or a going short trade is derived and generated when the shorter average indicator crosses below longer moving average indicator (Both Moving Averages Moving Down).
Best MT4 Examples Systems
Stochastic can be combined with other technical indicators to make a trade system.
- RSI xauusd indicator
- MACD xauusd gold indicator
- MAs technical indicators
Systems Examples - Best MT4 Templates Example Systems
Short Signal or Sell Trading Signal
How the short sell Gold signal was generated
From our gold rules the short sell signal is generated when:
- Both MAs are heading down
- RSI is below 50
- Stochastic heading and moving downwards
- MACD heading downwards below centerline
Short trading signal was generated when all the written rules were met. The exit signal is given when a signal in the opposite direction is generated.
The good thing about using such a method is that we are using different types of indicators to confirm the trading signals and avoid as many whip-saws as possible in the process.
- Stochastic - xauusd momentum oscillator
- RSI - gold momentum oscillator
- MAs XAUUSD Technical Indicator - trend following trading indicator
- MACD - trend following indicator
Based on the chart timeframe used - this strategy can be used as Gold scalping system when the minute charts are used or as a day trade system when hourly trading charts are used.
Example 3: Strategy Example
This trade system is fully elaborated within the trade plan on the trade plan lesson on this learn web site under the key concepts section tutorials located on the right navigating menu.
Chart Timeframe
1H gold chart
Trading Indicators that spot a new trend
MA Crossover Indicators Strategy
Indicators that confirm the trend
RSI indicator
STOCHASTIC OSCILLATOR indicator
Long Entry - Buy Trade Signal
1. Both Moving Averages(moving averages) pointing upwards
2. RSI value above 50
3. Both stochastic oscillators heading up
Short Entry - Sell Trading Signal
1. Both Moving Average pointing down
2. RSI value below 50
3. Both stochastics moving down
Exit Signal
1. Moving Average Indicator generates in the opposite market trend signal
2. RSI generates in the opposite trend signal
Money Management in Gold Trading
StopLoss - 35 pips
Take-Profit - 70 pips
Reward to Risk 2:1
Best MetaTrader 4 Templates Example Systems
The Gann Swing Oscillator is meant to be used in combination together with the Gann HiLo Activator & Gann Trend to form a complete trade strategy commonly known as the - "New Gann Swing Chartist Trade Plan". Within this technique the Gann Swing Oscillator Technical is used to help determine market swings for trading only within the current market trend is illustrated by the Gann Trend.
Below is the illustrations of New Gann Swing Chartist Trade Plan
Gann Chartist Plan - Gold Systems - MT4 Template Trade Strategy
More Tutorials & Topics:
- How Do I Gold Set Buy Stop XAU/USD Order on MT5 Platform?
- One of the Best Broker for Gold for All Trade Methods
- Different Types of Gold Accounts
- How to Add Gold EA Bots in MT4 Platform Software
- How to Spot XAUUSD Divergence in XAUUSD Chart and How to Divergence in XAUUSD Chart
- Chart Trade Pattern Explained with Examples
- Technical XAUUSD Indicators Used for Setting Stop Loss Orders
- XAUUSD 20 Pips a Day Strategy
