Trade Gold Trading

Gold Long & Short and Trading Charts

In XAUUSD, there are 2 types of positions, these are:

  • Long (buy) - long is if the trend is buy/bullish.
  • Short (sell) - short is if the trend is sell/bearish.

Buying/Long and Selling/short Both terms, refer to things we do when execute a trade.

Buying Long = term to use when buying & when opening a trade.

Selling short = term to use when selling and when registering a trade.

Long - This term is an alternative designation for initiating a buy trade position. When a trader goes "long," it signifies they have purchased the Gold pair, anticipating movement in an upward trajectory. A market trend moving persistently upwards is characterized as bullish.

Short - When someone says they're “short” on gold, they mean they're selling as the price drops. If the price keeps falling, that's a bearish trend.

Short selling means offering XAUUSD on online gold markets. It lets you sell an asset like gold when you expect its value to drop against another, such as the US dollar. Once sold, you skip holding gold and keep the dollar amount instead, as in our gold-to-dollar swap example.

Buy or go long when the price rises. Long just means buy. An uptrend is bullish, so place a buy order. Spot a bullish trend with an upward line on a gold chart. The image below shows a long or buy signal.

Buying and Selling Gold - Going Long Gold Trading or Going Short Gold Trading

Buy/Long

Sell/ShortIf the XAUUSD Gold price is heading downward we sell, this is referred to as going short. When the trend is heading downward it's known as a bearish. The illustration put on display below shows downward trend, this is when a short sell is placed. The short/sell is identified by drawing a downwards trend-line on a chart. The illustration revealed below shows short/sell trading signal.

Buying and Selling Gold Trading Explained - Going Long Gold Trading and Going Short Gold Trading

Gold Trading Charts - A gold chart shows exchange rates on the y-axis against time on the x-axis. It uses the XAUUSD pair in this example. Price changes appear on the chart. You can plot it as candlesticks, like the one shown. Or use line or bar charts.

Gold Chart

The three most used chart types for the XAUUSD Market are:

  • Candle Charts
  • Line charts
  • Bar charts

These 3 types are discussed & discussed/explained in the lesson Gold Chart Types.

Putting Buy Long and Sell Short on MT4 Software Platform

The XAUUSD Trade Platform is provided by an online broker to assist traders in executing transactions in the online gold trading market. Once you download and install this software on your computer, you can begin trading in the XAUUSD market and the FX market. All transactions are processed through this platform. If you want to learn a trading software, MetaTrader 4 is a great platform to start with.

Buying Gold Trade and Selling Gold Trade - Going Long Gold Trade vs Going Short Gold Trade - XAUUSD Buy and XAUUSD Sell

To set these orders - buy & sell orders - open MT4, open a "chart ", rightclick in "chart ", choose and select the "New Order ", then choose and select the trade transaction order either buy or sell like as illustrated below. (Short-cut Keys - Press 'F9')

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