Profitable Gold Price Action Strategy For Beginners
To trade this Gold price action strategy, you need to learn just 2 simple things:
support and resistance levels identification
a couple of bullish and bearish price action patterns.
In this article, I will share with you a complete guide for Gold trading with price action and reveal the best patterns for XAUUSD.
Step 1
Your First task will be to execute complete structure analysis on a daily time frame.
It means that you should identify all vertical and horizontal supports and resistances.
From structure supports, we will look for buying opportunities.
From structure resistances, we will look for selling the market.
Above, you can see how a complete Gold support and resistance analysis should look.
Step 2
Patiently wait for the test of one of these structures.
In the example above, we see a test of Support.
Step 3
Your next task will be to look for a price action pattern on an hourly time frame on one of these structures.
You should look for a bullish pattern after a test of a structure support.
You should look for a bearish pattern after a test of a structure resistance.
Here is the list of classic bullish patterns that you should look for:
falling wedge,
bullish flag,
double bottom,
triple bottom,
inverted head & shoulders pattern,
cup & handle,
ascending triangle.
Once you identified a bullish pattern, simply wait for a signal -
with horizontal patterns like a double bottom or cup & handle you should wait for a bullish breakout of its neckline - an hourly candle close above.
With vertical patterns like a bullish flag or a falling wedge, you should look for a bullish breakout of its trend line - and hourly candle close above.
Here is the list of classic bearish patterns that you should look for:
rising wedge,
bearish flag,
double top,
triple top,
head & shoulders pattern,
inverted cup & handle,
descending triangle.
Once you identified a bearish pattern, simply wait for a signal -
with horizontal patterns like a double top or inverted cup & handle you should wait for a bearish breakout of its neckline - an hourly candle close below.
With vertical patterns like a bearish flag or a rising wedge, you should look for a
bearish breakout of its trend line - and hourly candle close below.
Sometimes there will be the situation when you will encounter multiple patterns. The rule is that the more - the better.
Above, we can see 2 bullish patterns on an hourly time frame, after a test of a key daily support on Gold: bullish flag pattern and cup & handle.
The price broke the resistance line of the flag and a neckline of a cup & handle, giving us a strong bullish signal.
Step 4
Open a trading position.
Once you spotted a bearish pattern after a test of a key daily resistance, and a signal - a bearish breakout of a neckline or a trend line, sell Gold on a retest of a broken neckline/trend line.
Stop loss will lie above the highs of the patterns.
Take profit will be the closest 4H support.
Once you spotted a bullish pattern after a test of a key daily support, and a signal - a bullish breakout of a neckline or a trend line, buy Gold on a retest of a broken neckline/trend line.
Stop loss will lie below the lows of the pattern.
Take profit will be the closest 4H resistance.
In our example, a long position was opened on Gold on a retest of a broken neckline of a cup & handle formation. Stop loss lies below the lows, TP based on a 4H resistance.
After some time, the price reached the target!
This Gold price action strategy is simple and very profitable. Try this strategy by your own and good luck in trading Gold!
❤️Please, support my work with like, thank you!❤️
Xauusdstrategy
Gold thoughts 07-Aug-2024Please find my GOLD market analysis for today below. As a price action trader, I encourage you to compare my charts with yours and use my insights to enhance your skills. These videos are designed for educational purposes only, not as trading signals. My goal is to help you grow and become a proficient trader
THE KOG REPORT - FOMC THE KOG REPORT – FOMC
This is our view for FOMC, please do your own research and analysis to make an informed decision on the markets. It is not recommended you try to trade the event if you have less than 6 months trading experience and have a trusted risk strategy in place. The markets are extremely volatile, and these events can cause aggressive swings in price.
A great week so far on Gold with our targets completing and the path working out how we hoped. We’re now just above that order region we wanted attempting to break above, so for this report we’ll keep it simple.
Price rejects above in the 2435-40 region, potential for this to pullback all the way into the 2400 region, unless broken. That lower region is where we would potentially be looking to buy in again.
Price pushes down, we’ll be looking in that region for a move upside. We have immediate support below 2415 which could be tapped but needs to cross below, otherwise, we’re likely going to hover up here, spike and then make the move.
Wouldn’t recommend trading the event, we’ve done our trading for the day. Best to wait for the move to finish and then look for the entry from a decent level.
Please do support us by hitting the like button, leaving a comment, and giving us a follow. We’ve been doing this for a long time now providing traders with in-depth free analysis on Gold, so your likes and comments are very much appreciated.
As always, trade safe.
KOG
Unlocking Profit Potential XAU/USD Buy Trade AnalysisHey Nathima fams!
I hope you're all doing great! I wanted to share an exciting trading opportunity I've identified on gold. Here's why it's looking promising:
Weekly Strong Bullish Trend: The weekly chart is showing a robust bullish trend, indicating significant upward momentum in the price of gold.
Buy Opportunity: Considering this bullish trend, I'm highly confident in a buy opportunity on gold.
Target Range: I'm aiming for a target range of 2183 to 2208. This range aligns with both technical indicators and market sentiment, increasing the probability of a successful trade.
Profit Potential: With this trade, there's a fantastic opportunity to make substantial profits. By leveraging the current market conditions and strategic entry points, we can maximize our gains.
Let's capitalize on this opportunity together and turn it into a profitable venture! If you're ready to join me in this trade, let's make it happen and celebrate our success as a team. Here's to winning trades and amazing profits!
Best Technical Analysis Strategies for Trading Gold
If you want to trade Gold, but you don't know what strategy to trade, I prepared for you the list of 4 simple and profitable gold trading strategies.
Please, note that my list includes the indicator, swing, price action and smart money strategies, so you will certainly find the one that suites you.
Also, all the strategies will be strictly structure based.
It means that no matter which strategy you choose, you should start your analysis with identification of key levels on a daily time frame.
Example of structure analysis on Gold.
1. Breakout trading on a daily time frame
With that approach, we will be aiming to catch swing moves.
Your bearish confirmation will be a bearish breakout - a daily candle close below a key support. A bearish continuation will be anticipated to the next closest daily support then.
Your bullish signal will be a bullish breakout of a key daily resistance.
Then you can buy aggressively or on a retest, expecting a bullish continuation to the next strong resistance.
In the example above, bearish breakout of a key daily support was a strong bearish signal that triggered a massive selloff.
This strategy is based only on a daily time frame analysis,
the next 3 strategies will be more sophisticated and involve multiple time frames analysis.
2. Price action confirmation strategy
With that approach, you should patiently wait for a test of one of the key structures that you spotted on a daily.
After that, you should monitor the reaction of the price to that on 4h/1h time frames.
Your signal to buy will be a formation of a bullish reversal price action pattern on a key support, while your bearish confirmation will be a bearish pattern on a key resistance.
Once you spotted a confirmation, you can anticipate a bullish/bearish movement, at least to the closest 4h structure.
In the example above, Gold tested a key daily support. The price formed a double bottom formation on that. Its neckline breakout was a strong bullish signal.
A bullish movement initiated to the closest 4H resistance then.
3. Moving average confirmation strategy
For that method, you will need 2 moving averages: simple MA with 9 length and exponential MA with 20 length.
Once the market tests a key support, you should look for a crossover.
A simple MA should be above the exponential MA.
It will be your bullish signal.
After a test of a key resistance, look for an opposite crossover.
A simple MA should be below the exponential MA.
It will give you a strong signal to sell.
Here is how the MA crossover would help you to predict a bullish movement on Gold on an hourly time frame.
4. Smart money confirmation strategy
With that approach, you should look for a break of key daily structure on 4h/1h time frames.
After a violation of a key support, you should look for a bullish imbalance so that the price should return above the broken structure. That will be your signal to buy.
After a violation of a key resistance, look for a bearish imbalance. The price should come back below a broken structure. It will be your signal to sell.
After a test and a violation of a key daily resistance, Gold formed a bearish imbalance on a 4H time frame. It was a strong bearish signal.
All these strategies are very efficient. However, they will work after you learn to correctly identify key structures.
Let me know in a comment section which strategy do you prefer.
❤️Please, support my work with like, thank you!❤️
XAUUSD - GOLD CURRENT SITUATION#XAUUSD
According to our previous analysis of XAUUSS, GOLD went UP very fast in the previous weeks. Because of the NEGATIVE SENTIMENT against the dollar, US10Y went down due to this. Then I automatically bought GOLD.
But the last day all those INFLATION INDICATORS were NEGATIVE, so GOLD was slightly SELL. It is definitely a very important indicator for the FED. Currently, MARKET RISK is being OFF.
Anyway, we expect GOLD to go up to 2000 LEVEL. Before that, GOLD may go down to 1888 LEVEL with the FOMC UPDATE. Be careful..
GOLD 1hour: finaly gold break red trend line and inter +up trendlet see AC indicator on gold futures daily and COT : big banks open order in bottom
doble bottom pattern come and price now touch SMA200 1hour
now it can little pullback to 1642 then going to fibo 61:1686.... trend is to 1700 ,,, after pinbar come we can inter posation near green,red arrow
good luck , BE CAREFULL FROM SELL ON GOLD ,gold can start wild uptrend without pullback and go to 1920 even above
www.tradingview.com
www.cnbc.com
XAUUSD - HOW DOES GOLD REACT USD HIGH IMPACT NEWS?#XAUUSD
According to the analysis we gave to XAUUSS earlier, the TREND LINE is BREAKING and going down about 190 PIPS. We hope you get it.
We have some very important NEWS coming to USD this week. So we have to wait a bit until we get them. The reason is that in this week, some very important DATA such as MANUFACTURING DATA, LABOR DATA etc. should be received. They can definitely have a very positive effect on GOLD.
Anyway, with US10Y UP, GOLD is going down a bit now. Anyway, we expect GOLD to go down to 1671 LEVEL. Before that, you can definitely go to 1744 LEVEL GOLD. Be careful.
XAUUSD, Dec 2nd week analysisGold against Dollar pair jumps out from the strong support zone of 1770 price , and it may go towards the immediate resistance of 1807 zone.. price action suggest it may get rejected from the resistance to come down to pass 1770 mark,..
analysis only for education purpose
XAUUSD buy setup:XAUUSD setup based on the indicators and market structure.
We can find gold respected the support, after a nice fall. I got in the macd indicator a blue dot, meaning buys, and also I got a buy call, usually when both apear after respecting the market levels, structure, or some moving average market moves bullish. In case I had gotten a black dot and a sell call, market will have gone highly probably bearish.
If you like how the setup looks, like the strategy or so I will keep posting results.
So far I been using this system exactly like how is setup now for 2 months and had gotten amazing results.
I will be posting daily results now on.
HOLY GRAIL OF XAUUSDXAU/USD setup the best one you will see on TradingView, I will be sending gold setups daily.
If you open this setup and go to 1min chart you will be able to see all the snipes made with this 2 indicators.
From now on, we playing on another level.
Check the setup in 1 min chart to see the detailed explanation of this trading method.
Hope you like, I see you in my next setup's, see ya'll !!!