XAUUSD Trend Definition
A xauusd trend in xauusd is the tendency of gold trading prices to move in a particular direction for a period of time in a general direction upward or downwards.
Trends can be interpreted using xauusd trend lines.
XAUUSD Trend line analysis helps traders to define the direction of the market. XAUUSD Trend lines connect a series of gold trading price highs or gold trading price lows forming a sloping xauusd trend which represents the general movement of the gold trading price.
For an upwards sloping line this is known as an up xauusd trend - trend-line drawn is known as an upward xauusd trend line.
For a downwards sloping line this is known as an down xauusd trend - the trend-line drawn is known as an downwards xauusd trend line.
XAUUSD Trend Strategy
An upwards xauusd trendline is drawn below the upwards sloping pattern by connecting at least two lows. This will draw a xauusd trendline that illustrate the general direction of the market upward.
The example shown below shows how gold trading price moves when it is moving in an upward trend. The gold trading price will move upward forming support regions.
Since the xauusd market moves in a zigzag manner xauusd traders normally draw a xauusd trend-line which shows the general upwards xauusd trend direction.
What's an Examples of a XAUUSD Trend? Identifying Trends in Gold - XAUUSD Trend Definition
An up xauusd trend occurs when the price makes consecutive higher price highs & higher price lows. Each gold trading price high is higher than the previous gold trading price high - higher high, & each gold trading price low is higher than the previous gold price low - higher low.
Up xauusd trend lines gain more validity each time gold trading price touches but does not penetrate it. An up xauusd trend remains in place until this series of higher price highs & higher price lows is broken - xauusd trend-line break reversal gold trade signal.
XAUUSD Trend Strategy
A downward xauusd trendline is drawn above pattern formed by consecutive lower highs, it must connect at least two highs, with the most recent high being lower.
Since gold trading price moves downward in a zigzag manner traders normally draw a line which shows the general downward direction. In xauusd market technical analysis, this general direction is referred to as the XAUUSD TREND by traders. This down xauusd trend-line is drawn on a XAUUSD chart showing the resistance areas (bearish xauusd trend market direction).
What's an Examples of a XAUUSD Trend? Identifying Trends in Gold - XAUUSD Trend Definition
A down xauusd trend occurs when the price forms a series of lower highs and lower lows. Each gold trading price high is lower than the previous gold trading price high - lower high, & each gold trading price low is lower than the previous gold trading price low - lower low therefore showing bearish gold trading price movement.
Down xauusd trend lines gain more validity each time gold trading price touches but does not penetrate the trend line. A down trend remains the general direction until this series of lower price highs & lower price lows is broken - xauusd trend-line break reversal gold trade signal.
