Best Chart Time-frame to Trade Gold

Multiple timeframe analysis equals using 2 gold timeframes to trade gold - a shorter chart time-frame used for trading and a longer chart time-frame 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 time frame gives us the direction of the long-term trend.

If the long-term gold trend direction supports 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 Timeframe 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 various types of traders - all these different types of traders use different chart timeframes to trade as displayed below.

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

Multi Chart Time Frame Scalping

Scalper traders hold onto their trades for only a couple of minutes. Scalper trader never holds onto a trade position for more than 10 minute. With goal of earning small sums of pips as profit, 5 - 15 pips.

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

Multi Chart Timeframe Day Trading - How Do I Analyze Price with Different Chart Time Frames?

Multi Chart Time-frame Scalping XAUUSD

Multi Chart Timeframe Intraday Gold

Day traders hold on to their open trade positions for few hours but not more than a day. With main objective of earning quite an amount of pips profit, 30 to 60 pips.

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

Multiple Chart Timeframe Strategy Gold - Multi Time Frame Day 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 trade positions for few days to a week. With main objective of earning a big number of pips profit, 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 transaction.

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

Multi Chart Time-frame Swing Trading - Multi Chart Time-frame Swing Trading Gold

Multi Chart Timeframe Positional Gold

Position traders are traders who hold onto their trades positions for a period of weeks or months. With main objective of earning a big number of pips profit, 300 to 800 pips.

Position trader using the daily chart wants to go short, checks the weekly chart, weekly resembles the chart examples illustrated and explained below, since weekly chart shows the market trend is heading down, then decides from this xauusd 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 - Moving Averages Crossover System, RSI Indicator & MACD Indicator - & uses simple rules to define the trend. The rules are:

Upward XAUUSD Trend

Both MAs Moving Up

RSI Indicator Above 50

MACD Indicator Above Center Line

Downward Trend

Both MAs Moving Down

RSI Indicator Below 50

MACD Indicator Below Center Line

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