Gold Trading Write a Gold Trading Plan
XAUUSD Trading Write a XAUUSD Trading Plan
The following is a trade plan examples template of a best gold trading plan:
JUSTIFICATION
1. Gold Trading IS A BUSINESS, SUCCESSFUL BUSINESSES ALWAYS HAVE PLANS
- Businesses that are successful always begin with a plan.
- Successful business planning will guide you to success, think of the gold trading plan as a map: it is a constant reminder of how you'll consistently pull profits from the xauusd trading market.
- Difference between a successful gold trader & a losing one is the gold trading plan.
2. TO KEEP ME IN THE RIGHT DIRECTION when Trading XAUUSD
Consistency is important in your trading routine to measure how successful you're.
Keep you on target, read your gold trading plan every day & stick to it.
When it comes to your gold trading plan you should think of it as a map that shows you this is what you follow, it should have clear gold trading rules that specify when you open or close a gold trading trade transaction.
Your gold trading plan should cover all aspects of gold trading, you should read your gold trading plan every day until it is on your fingertips so that when you are trading on the fast moving market of gold you will always know what to do in every situation.
Your gold trading plan can be as simple or as complicated as you like, but the most important thing is that you have one. By having a gold trading plan you have an advantage over the xauusd market, you will have better odds of making a profit than those gold traders who do not have a gold trading plan.
This gold trading plan guide topic provides gold traders with an example gold trading plan that you can use for creating your own gold trading plan. By now you have already written down the justification part of your gold trading plan, If not get a pen and paper and write the justification part. Next we shall look at how to write the xauusd trading system.
Gold plan is one of the secrets which can help you to improve your trading profits. A good gold training guide like this one should show you how to create a gold trading plan using a gold trading plan which you can use as an example to develop your own.
One of the most common question is, Is Gold profitable? one of the methods to make it profitable is to have a good gold trading plan.
IF YOU HAVE A GOOD XAUUSD Trading PLAN AND YOU ARE DISCIPLINED ENOUGH TO STICK TO IT When XAUUSD Trading, YOU WILL BE SUCCESSFUL.
GOALS OF THE Gold TRADING SYSTEM
- Ability to IDENTIFY A Gold TREND AS EARLY AS POSSIBLE .
- Ability to AVOID WHIPSAWS .
The gold system should find a compromise between the 2 Goals,
Find a way to identify a gold trend as early as possible but also find ways to help you distinguish fake signals from the real ones.
FUNCTIONS OF EACH Gold INDICATOR
MA - Identify a new gold trend as early as possible.
MACD - Identify a gold trend as early as possible.
Determine strength of a continuing xauusd trend.
RSI - Swing failure to confirm the begin of a new xauusd trend.
Extra confirmation gold indicators & tools to help determine strength of our xauusd trend.
Parabolic SAR - Help to ensure that we are not caught up on the wrong side of the xauusd trend.
Trendlines - Signals a reversal when the trend line is broken
Gold Price Action Signals - confirm the weakening of a xauusd trend.
Bollinger Band - for xauusd price action study
To learn more about each xauusd technical indicator & how these indicators can be used to generate gold signal setups you can go to XAUUSD Indicators Section
Gold CHART TIME FRAMES
- Main xauusd chart time frame is the 1H.
- Gold Signals are generated on the 15 minute chart time frame.
15 Minute Gold Charts
- Trendlines (Support and Resistance)
- 5 & 7 LWMA
- RSI (14)
- Bollinger Bands (20, 2)
RULES
LONG ENTRY
Entry
15 Minute Gold Charts
- Both Moving Averages are moving UP
- MACD Above Zero Center Line (Not MACD moving UP)
- RSI >-> 50
- Parabolic SAR is below the xauusd price (Support)
When a gold signal is generated on the 1 H chart, use the 15 minute chart time frame to open and close positions.
LONG EXIT
- RSI gives opposite trading signal
- Gold Price breaks out Support Trend Line
- Parabolic SAR is hit (Trailing Stop)
RULES
SHORT ENTRY
Entry
15 Minute Gold Charts
- Both Moving Averages are moving DOWN
- MACD Below Zero Center Line (Not MACD moving Down)
- RSI <-< 50
- Parabolic SAR is above the xauusd price (Support)
When signal is generated on the 1 H chart, use the 15 minute chart time frame to open and close positions.
SHORT EXIT
- RSI gives opposite trading signal
- Gold Price action breaks out Support Trend-Line
- Parabolic SAR is hit (Trailing Stop)
ROUTINE
- Gold signals are generated using 1H xauusd chart time frame and executed using the 15 minute chart time frame.
- xauusd trading signal to be executed immediately rules are met.
- Entry alert trading signals should be executed during daytime.
TIME OF DAY TO WATCH MARKET - MARKET HOURS
Watch market during daytime when most companies & online gold brokers are open for trades. Use this to come up with a suitable gold trading schedule.
Example Trading Plan Template
Gold Tips - You can use the MetaTrader 4 Gold Trading Software to save this gold trading plan example as a gold template on the MetaTrader 4 platform - that way you do not have to lay it afresh every time you open a new gold chart. If you want to learn how to save a gold template on the MetaTrader 4 platform, read: MT4 Gold Trading Platform Tutorials.
MONEY MANAGEMENT RULES
- Day trading - Low risk High return method
- Trade when I have a high risk:reward ratio 3:1 or more
- Stop loss = Parabolic SAR
- Set TP target 40-60 Pips
- Never transact beyond 3% of gold trading account equity
- Never risk more than 2% on a single trade
MINDSET/PSYCHOLOGY
- Trade without Emotions (greed, fear, impulse, bias, anticipation, over-excitement)
- I trade what my eyes see not what I feel.
- I will be patient.
My job is not to be the gold trading system!
It is not to decide which signal looks promising.
That is the job of my gold system - that has a set of trading rules which tells me this is what I follow. Do not get caught up in xauusd price action and make rules as you go along.
MY JOB DESCRIPTION IS
To sit patiently & wait for my gold trading strategy to show that it is time to enter or it is time to exit. And then with great focus I execute the gold trading plan as outlined.
Taking trades not indicated by the gold trading system, second guessing the xauusd system and not taking trading signals given, hesitating & getting in late, anticipating and getting in early are all common place and boil down to lack of faith in plan & not having a burning focus on accurate execution.
GOAL: To have 100% undivided focus on mastering my ability to execute my gold trading rules accurately.
More you develop the ability to step back from xauusd price movement & watch the xauusd market dispassionately, waiting for a trading signal, the easier it will be to witness the fluctuations of your emotions without getting sucked into them & allowing them to throw you off your game.
WEAKNESS
- I am greedy.
- I over-trade
- Make a list of all your weaknesses that are interfering with your trading. This is the first step to help you overcome these weaknesses. Use Gold psychology to help you overcome them.
Note: by writing down your weaknesses you will start recognizing them as you make progress in gold trading, once you do this you will begin to avoid this mistakes & your trading results will improve.
GOALS
- To focus on exit just as much as I do on entry trading signals.
- Always protect my gold trading account using stop loss orders, gold money management methods, follow with the gold trend direction & always following the rules of my gold trading strategy.
- Never second guess or go against my gold trading strategy. To always keep up my discipline.
- Follow all the rules of my gold strategy and never break them.
- Trade fewer times and execute all my gold signals correctly. Trade what I see, what the gold trading system + gold charts are telling me.
- Sit patiently & wait for gold trading signals from my gold trading strategy.
- Achieve consistent profitable results before opening a live xauusd trading account.
FOLLOW THIS SYSTEM
This is the most important part of creating the gold trading system.
Always follow the rules
Stick with the rules
Be disciplined & patient enough
XAUUSD JOURNAL
Log all my gold trade transactions in a gold trading journal so as to track my training progress & improve my gold trading execution methods.
The gold strategy uses momentum to determine the trend of any gold.
Even if you are new to Gold market & you don't know how a gold trading system looks like, this xauusd system example illustrates to you how a gold trading system strategy should look like, the gold tutorials described in other sections of this learn gold training website will also explain further different aspects that you need to learn.
Hence, the objective is to help you create your own complete gold trading strategy that is if you're looking for one, by showing you one that's already complete. In fact you can just use this gold trading plan examples as it is, or make a few adjustments so that it fits your gold trading style.
Aim is to help you improve your gold trading results by using a gold trading plan that is written, and another advantage is that this gold trading plan will offer you a chance to improve your knowledge and it will help you trade better, make pips and keep them so that you do not keep giving them back to the xauusd trading market.
Read this gold trading plan training guide about developing a gold trading plan of your own, along with the learn gold courses and gold trade strategies listed at the tops of this learn gold trading guide.
The Most Beneficial part of using this gold trading plan is the "Money Management Part" you will learn how to gold trade & minimize risk, which is the most important thing when it comes to the gold market trading.
Gold Trading Write a Gold Trading Plan
