Best Chart Time-frame to Trade Gold

Multiple time frame analysis equals using 2 gold timeframes to trade xau/usd - a shorter chart timeframe used for trading and a longer chart timeframe used to check the trend.

Since it is always good to follow the market trend when xauusd trading, in Multiple Time Frame Analysis, the longer chart timeframe provides us the direction of the long term trend.

If the long-term gold trend direction is in support of the direction of smaller chart timeframe then the probability of opening a profitable trading is significantly increased. This is because even if you as a trader make mistake the long-term gold trend will eventually save you. Also if you trade in direction of trend, then mostly you will be on the winning side - this is what this Multiple Time Frame gold Technical Analysis is all about.

Remember there a popular saying by many traders and traders that says: "The trend is your best friend" - never go contrary the trend when trading.

There are 4 different types of traders - all these different types of traders use different chart timeframes to trade like as displayed below.

Examples of how each type of trader uses multiple chart Timeframes analysis strategy:

Multi Chart Timeframe Scalping

Scalper traders hold onto their trade transactions for only a couple of minutes. Scalper trader never holds onto a trade position for more than 10 minute. With the aim of earning little sums of pips as trading profit, 5 - 15 pips.

A Scalper using 1 Minute trading chart wants to go long, checks 5 Minute chart, which looks like the one below, since 5 Minutes trading chart show trend is heading up, then decides from this xauusd gold analysis it is okay to open a buy transaction.

Multi Chart Timeframe Day Trading - How Can I Analyze Price with Different Chart Timeframes?

Multi Chart Time-frame Scalping XAUUSD

Multi Chart Timeframe Intraday Gold

Day traders hold on to their open positions for few hours but not more than a day. With main goal of making quite an amount of pips in trading profits, 30 to 60 pips.

Day trader 15 minute chart timeframe wants to open/execute long, checks 1H gold chart, which looks like the chart below, since 1H gold chart shows gold trend is heading up, then decides from this xauusd gold trading analysis it is okay to open a buy transaction.

Multiple Chart Timeframe Strategy Gold - Multi Time-frame Intraday Trading - Multiple Chart Timeframe Indicator

Multi Chart Time-frame Day Trading - Multi Chart Time-frame Intraday Trading Gold

Multi Chart Timeframe Swing Gold

Swing traders hold on to their open positions for few days to a week. With the main aim of making a big number of pips profits, 100 to 250 pips.

Swing trader using 1H gold chart wants to go short, checks 4H gold chart, which resembles the chart examples illustrated & explained below, since 4 H gold chart shows the trend is moving down, then decides from this gold technical analysis it's okay to open a sell gold trade.

Multiple Chart Timeframe Strategy Gold - Multi Time-frame Day Trading - XAUUSD Trading 2 or 3 Timeframes in Charts

Multi Chart Time-frame Swing Trade - Multi Chart Time-frame Swing Gold

Multi Chart Timeframe Positional Gold

Position traders are the Gold traders who hold onto their trade transactions positions for a period of weeks or months. With the main goal of making a large number of pips in trading profits, 300 to 800 pips.

Position trader using the day chart wants to go short, checks the weekly chart, weekly resembles and looks like the chart examples illustrated and explained below, since weekly chart shows the market trend is heading down, then decides from this xauusd gold trading analysis it is okay to open a sell xauusd trade.

Multiple Chart Timeframe Strategy Gold - Multiple Chart Timeframe Strategy Trading

Multi Chart Time-frame Positional Gold

How to Define A Trend

Using a system that has Three indicators - MAs Crossover System, RSI & MACD Indicator - & uses simple rules to define the trend. The Trading Rules Are:

Upwards XAUUSD Trend

Both MAs Moving Up

RSI Above 50

MACD Indicator Above Center Line

Downwards Trend

Both MAs Moving Down

RSI Below 50

MACD Indicator Below Center Line

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