Unbelievable Gold Trade Setup! Must-Watch Analysis & Secret Risk
Technical Analysis of Gold Spot (XAU/USD)
Chart Overview:
- Current Price: $2,364.525
- Time Frame: 1 hour
- Key Levels:
- Resistance Levels:
- TP 3: $2,391.040
- TP 2: $2,386.595
- TP 1: $2,379.694
- Support Levels:
- LQZ: $2,371.857
- LQZ: $2,356.635
- TP 1: $2,347.655
- TP 2: $2,339.090
Candlestick Patterns:
- Recent Uptrend: The chart shows a significant uptrend starting from July 2nd to July 4th.
- Price Consolidation: Following the uptrend, there was a period of consolidation with prices forming a triangle pattern.
- Downtrend and Recovery: A sharp downtrend occurred, followed by a recovery attempt which is now in another consolidation phase.
Key Observations:
1. Resistance at TP 1 ($2,379.694): The price faced resistance around the $2,379.694 level and has not been able to break through.
2. Support at LQZ ($2,356.635): This level has provided significant support and could be a potential entry point if the price tests this level again.
3. Current Position: The price is currently trading around $2,364.525, which is below the key resistance levels and above the support levels, indicating a range-bound movement.
Lecture on Using Proper Risk Management
Risk management is crucial for successful trading. Here are key principles to ensure proper risk management:
1. Determine Risk Tolerance: Understand your risk tolerance and set a percentage of your capital that you are willing to risk on each trade. Commonly, traders risk 1-2% of their capital per trade.
2. Set Stop Losses: Always use stop losses to limit potential losses. For the current XAU/USD scenario, a stop loss could be placed slightly below the LQZ support level at $2,356.635.
3. Position Sizing: Calculate your position size based on your risk tolerance and stop loss level. For instance, if you have $10,000 and are willing to risk 2% ($200), and your stop loss is $10 away from the entry price, your position size would be 20 units.
4. Risk-Reward Ratio: Aim for a favorable risk-reward ratio. A common target is a 1:3 ratio, meaning you aim to make three times the amount you risk.
5. Diversification: Avoid putting all your capital into a single trade or asset. Spread your investments across different assets to mitigate risk.
Conclusion
For an in-depth analysis, make sure to watch the rest of the stream where I cover:
- TSLA (Tesla)
- DXY (US Dollar Index)
- BTC (Bitcoin)
- US30 (Dow Jones Industrial Average)
#XAU/USD #GOLD #TSLA #MARKETLESSON
Chart Overview:
- Current Price: $2,364.525
- Time Frame: 1 hour
- Key Levels:
- Resistance Levels:
- TP 3: $2,391.040
- TP 2: $2,386.595
- TP 1: $2,379.694
- Support Levels:
- LQZ: $2,371.857
- LQZ: $2,356.635
- TP 1: $2,347.655
- TP 2: $2,339.090
Candlestick Patterns:
- Recent Uptrend: The chart shows a significant uptrend starting from July 2nd to July 4th.
- Price Consolidation: Following the uptrend, there was a period of consolidation with prices forming a triangle pattern.
- Downtrend and Recovery: A sharp downtrend occurred, followed by a recovery attempt which is now in another consolidation phase.
Key Observations:
1. Resistance at TP 1 ($2,379.694): The price faced resistance around the $2,379.694 level and has not been able to break through.
2. Support at LQZ ($2,356.635): This level has provided significant support and could be a potential entry point if the price tests this level again.
3. Current Position: The price is currently trading around $2,364.525, which is below the key resistance levels and above the support levels, indicating a range-bound movement.
Lecture on Using Proper Risk Management
Risk management is crucial for successful trading. Here are key principles to ensure proper risk management:
1. Determine Risk Tolerance: Understand your risk tolerance and set a percentage of your capital that you are willing to risk on each trade. Commonly, traders risk 1-2% of their capital per trade.
2. Set Stop Losses: Always use stop losses to limit potential losses. For the current XAU/USD scenario, a stop loss could be placed slightly below the LQZ support level at $2,356.635.
3. Position Sizing: Calculate your position size based on your risk tolerance and stop loss level. For instance, if you have $10,000 and are willing to risk 2% ($200), and your stop loss is $10 away from the entry price, your position size would be 20 units.
4. Risk-Reward Ratio: Aim for a favorable risk-reward ratio. A common target is a 1:3 ratio, meaning you aim to make three times the amount you risk.
5. Diversification: Avoid putting all your capital into a single trade or asset. Spread your investments across different assets to mitigate risk.
Conclusion
For an in-depth analysis, make sure to watch the rest of the stream where I cover:
- TSLA (Tesla)
- DXY (US Dollar Index)
- BTC (Bitcoin)
- US30 (Dow Jones Industrial Average)
#XAU/USD #GOLD #TSLA #MARKETLESSON
This page is designed to:
Help you better understand your personal risk tolerance
Guide you through emotionally charged decisions
Improve your overall trading confidence and performance
Help you better understand your personal risk tolerance
Guide you through emotionally charged decisions
Improve your overall trading confidence and performance
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.