How Do I Draw Gold Trading Fib Expansion Indicator on Gold Charts?
How Do I Draw XAUUSD Fibonacci Expansion Indicator on XAUUSD Charts?
How Do I Draw XAUUSD Trading Fibonacci Expansion Levels on XAUUSD Charts?
Traders use Gold Trading Fib Expansion levels indicator to estimate where the trend movement will reach. There are Two important Gold Trading Fib Expansion levels: 61.80% and 100% Gold Trading Fib Expansion Levels, these are used for taking profit.
To draw Gold Trading Fib Expansion levels on the gold chart we wait until the xauusd price retracement is complete & the price starts to move in original direction of the Gold trend. Where the xauusd price retracement reaches is used as chart point 3. Gold Trading Fib Expansion Technical Indicator is plotted using three chart points as shown on the xauusd trading example illustrated & explained below of how to plot the Gold Fibo Expansion Technical Indicator Tool.
The Gold Trading Fib Expansion xauusd trading examples illustrated and described below shows the Three Gold Chart Points where the Gold Trading Fib Expansion xauusd technical technical indicator is drawn, marked as Gold Chart point 1, Gold Chart point 2 and Gold Chart point 3.
Gold Chart point 1 is where the gold trend started, Gold Chart point 2 is where the gold trend pulled back & retraced and Gold Chart point 3 is where the price retracement reached as shown on the Gold Trading Fib Expansion Indicator Tool xauusd example illustrated & explained below.
How Do I Trade with Gold Trading Fib Expansion? - How Do I Draw Gold Trading Fibonacci Expansion Levels on Gold Charts
Please note where these Gold Fibo Expansion zones are plotted - Gold Trading Fib Expansion zones are drawn above the Fibonacci gold technical indicator, these are chart points where a trader will place gold take-profit orders using these Gold Trading Fib Expansion Levels - 61.8% and 100.0% Gold Fibo Expansion Levels.
Drawing XAUUSD Trading Fibonacci Expansion Levels on an Upward XAUUSD Trend
We use Gold Trading Fib Expansion levels to estimate where the trend movement will reach. There are Two important Gold Trading Fib Expansion levels: 61.80% Gold Trading Fib Expansion Level & 100% Gold Trading Fib Expansion Level, these Gold Trading Fib Expansion Levels are used as gold taking profit levels.
On the Gold Trading Fib Expansion indicator example illustrated and explained below you can see that the Gold Trading Fib Expansion technical indicator tool is plotted along the direction of the trend, since the trend is upward - the Gold Trading Fib Expansion indicator is drawn upward.
These Gold Fibo Expansion levels are shown as horizontal lines above the Gold Trading Fib Expansion xauusd technical technical indicator, showing profit taking areas. In the xauusd trading examples illustrated and described below if you had used the 100.00% Gold Fibo Expansion level you would have made good profit from the gold trade setup.
Drawing Gold Trading Fibo Expansion Indicator on an Upward Gold Trend - Gold Fibo Expansion Trading Tool
From the above Gold Trading Fib Expansion indicator example, the upward trend continued and both 61.8% & 100.00% Gold Trading Fib Expansion levels were all hit after which xauusd price retraced again after getting to the 100.00% Gold Trading Fib Expansion level.
Drawing XAUUSD Trading Fibonacci Expansion Areas on a Downwards XAUUSD Trend
Since we use the Gold Trading Fib Expansion indicator tool to estimate gold take profit levels, how do we draw Gold Trading Fib Expansion in a downwards Gold trend?
We draw the Gold Trading Fib Expansion tool from chart point 1 to chart point 2 to chart point 3 as illustrated on the xauusd trading examples illustrated and described below. Remember we always draw this Gold Trading Fib Expansion tool in the direction of the trend. In the Gold Trading Fib Expansion xauusd trading example illustrated and explained below, can you figure what direction we have drawn it? That's right - downwards direction.
Try and identify the difference between how we have plotted Gold Trading Fib Expansion indicator above and how Gold Trading Fib Expansion indicator is drawn below. This time you would also have used Gold Trading Fib Expansion level 100.0%, just where the price reached as illustrated on the xauusd trading example illustrated and explained below. That would have been a good gold take profit area.
Drawing Gold Trading Fibo Expansion Indicator on a Downwards Gold Trend - Gold Fibo Expansion Trading Tool
From the Gold Trading Fib Expansion indicator example above, after plotting this Gold Trading Fib Expansion gold trading tool there are 2 levels which are used to show the gold profit taking levels, these two Gold Trading Fib Expansion zones are plotted as horizontal lines across the gold chart marked as 61.8% Gold Trading Fib Expansion Level & 100% Gold Fibo Expansion Level.
Interpret & Draw Gold Trading Fib Expansion Indicator on Gold Charts?
