Best Chart Time-frame to Trade XAUUSD
Multiple timeframe gold analysis equals using 2 chart time-frames to trade gold - a shorter chart timeframe used for trading & a longer chart time frame used to check the xauusd trend.
Since it's always good to follow the gold trend when gold trading, in Multiple Chart Timeframe XAUUSD Analysis, the longer chart timeframe gives us the direction of the long term xauusd trend.
If the long term gold trend direction supports the direction of the smaller chart time-frame then probability of opening a profitable gold trade is significantly increased. This is because even if you make a mistake the long term gold trend will eventually save you. Also if you trade with direction of trend, then mostly you will be on winning side - this is what this Multiple Timeframe XAUUSD Analysis is all about.
Remember there's a popular saying by many traders and traders that says: "The gold trend is your friend" - never go against the gold trend when trading.
There are four different types of gold traders - all these different types of gold traders use different chart timeframes to trade as displayed below.
Examples of how each type of Gold trader uses multiple Timeframes XAUUSD analysis strategy:
Multiple Timeframe XAUUSD Analysis Scalping
Scalpers hold on to their xauusd trades for only a few minutes. The scalper gold trader never holds on to a gold trade for more than ten minutes. With the objective of making small amounts of pips as profit, 5 to 15 pips.
A Scalper using 1 minutes chart wants to buy long, checks 5 minute chart, which look like one below, since 5 minutes trading chart explain gold trend is heading upwards, then decides from this xauusd trading analysis it is ok to open a buy xauusd trade.
Multiple Chart Time-frame Gold Trading
Multiple Timeframe XAUUSD Analysis Day Gold Trading
Day gold traders hold on to their open xauusd trades for a few hours but not more than a day. With the aim of making quite a number of pips profit, 30 to 60 pips.
XAUUSD day trader trading 15 minute trading chart wants to go long, checks the 1 hour xauusd chart, which looks like the xauusd chart below, since 1H xauusd chart shows gold trend is heading upwards, then decides from this xauusd trading analysis it is ok to open a buy xauusd trade.
Multiple Time-Frame Gold Analysis Day Gold Trading - Multiple Time Frame Strategy PDF
Multiple Timeframe Trading Gold
Swing gold traders hold on to their open xauusd trades for a few days to a week. With the aim of making a large number of pips profit, 100 to 250 pips.
Swing trader using 1H gold chart wants to go short, checks 4 hour xauusd chart, which looks like the gold chart examples illustrated and explained below, since 4 Hour gold chart shows the gold trend is heading downwards, then decides from this xauusd trading analysis it is ok to open a sell xauusd trade.
Multiple Time Frame Trading XAUUSD - Multiple Time-frame Trading Gold
Multiple Timeframe Strategy Guide
Position gold traders are traders who hold on to their xauusd trades for weeks or months. With the aim of making a large number of pips profit, 300 to 800 pips.
Position gold trader using the daily trading chart wants to go short, checks the weekly xauusd chart, weekly looks like the gold chart examples illustrated and explained below, since weekly gold chart shows the gold trend is heading downwards, then decides from this xauusd trading analysis it is ok to open a sell xauusd trade.
Multiple Time Frame Strategy PDF
How to Define A XAUUSD Trend
Using a xauusd trading system that has 3 xauusd indicators - Moving Averages Crossover System, RSI XAUUSD Indicator and MACD XAUUSD Indicator - and uses simple rules to define the xauusd trend. The rules are:
Upwards Gold Trend
Both Moving Averages Moving Up
RSI Gold Indicator Above 50
MACD Gold Indicator Above Centerline
Downwards XAUUSD Trend
Both Moving Averages Moving Down
RSI Gold Indicator Below 50
MACD Gold Indicator Below Centerline
