Trading XAUUSD Define a XAUUSD Trend-
Definition of XAUUSD Trends
To identify a xauusd traders need to use xauusd tools that help in determining & identifying a gold trend.
The most popular xauusd tool to identify a xauusd trend is:
XAUUSD Trend Lines
A xauusd trend line depicts the points of support & resistance for the gold trading price, depending on the direction of the market.
For an upwards moving xauusd market xauusd trend the trendline will shows the points of support
For a downwards moving xauusd market xauusd trend the trend will show the areas of resistance
These xauusd trend lines are mainly used by many xauusd trader to determine these resistance & support levels.
XAUUSD Trendline is a straight line that connects 2 or more gold trading price points on a xauusd chart and then extends into the future to act as a level of support or resistance. There are two types of xauusd trend: upward xauusd trend and downward trend. XAUUSD Trend line is an aspect of gold trading analysis that uses line studies to try and predict where the next gold trading price move will head to. A trader should know how to draw & interpret the signals generated by this trendline tool.
The basis of this xauusd trend line analysis is based upon the idea that markets move in trends. XAUUSD trend lines are used to show 3 things.
- The general gold price direction - upward or downward.
- The strength of the current move - and
- Where future support & resistance will be likely located
If xauusd trendlines forms in a certain direction then market usually moves in that direction for a period of time until a time when trend-line is broken.
Plotting these trend-lines on xauusd chart shows the general xauusd trend of the xauusd market which can either be upwards or downward.
Below is an example of how to draw these trend line on gold charts
XAUUSD Trend-Line Guide: How to Draw and Trade Upwards Move Using XAUUSD Trend Lines
XAUUSD Trend-Line Guide: How to Draw and Trade Upward Move Using XAUUSD Trend Lines
XAUUSD Trend-Line Guide: How to Draw and Trade Downwards Move using XAUUSD Trend Lines
XAUUSD Trendline Tutorial: How to Draw and Trade Downwards Move using XAUUSD Trend Lines
