What's Trailing Stop Loss XAUUSD Order?

A trailing stop loss is a stoploss levels that keeps adjusting itself automatically by a set number of pips once the xauusd market moves in the direction of the trader's open trade by a number of pips.

For example the trailing stop can be set at 30 pips & set to adjust itself to 30 pips automatically once the xauusd trading price moves up by 5 or 10 pips. This means that this trailing stop-loss order will keep trailing the xauusd trading price as long as the trading price keeps heading in direction of the trader's open position.

This trailing stop-loss will close out the order once the xauusd market starts to retrace and it retraces to the level of the most recent set trailing stop loss level.

A good indicator used to set trailing stop-loss levels is the Parabolic SAR technical indicator:

Parabolic SAR Indicator

Parabolic SAR is used by traders to set a trailing xauusd trading price stop loss regions

Parabolic SAR provides good exit points which keep trailing the xauusd trading price on a xauusd chart.

In an upwards gold trend, you should close long trade positions when the price drops below the parabolic SAR Indicator

In a downward gold trend, you should close short trade positions when price rises above the parabolic SAR.

If you are trading long then the xauusd trading price is above the parabolic SAR, the parabolic SAR will move up every day, regardless of the direction in which the xauusd trading price is moving. The amount the parabolic SAR moves up depends on the amount that xauusd trading prices moves. Once xauusd trading price moves below the parabolic SAR as shown and illustrated on the xauusd example illustrated & explained below, then traders should close their open buy xauusd trades at the trailing stop level provided by the Parabolic SAR +technical indicator.

Parabolic SAR - XAUUSD Technical Indicator for Setting Trailing Stop Loss Gold Order Levels