Gold Trading System Rules: Write Down The Rules & Follow Them

We shall use the previous steps to come up with a written gold trading system that generates the trade signals displayed below using the 1 hour chart. We shall use the 1H chart to write the rules of this gold trading strategy - xauusd trading system.

A gold trading system refers to a set of written gold rules that you follow to manage your trades. These rules must be written down so as to guide you. The following tutorial will show you how to write-down the rules of your trading system.

Keyword is a SET OF RULES which you must follow. If you don't follow the rules then you don't have a xauusd trading system. Trading systems must have rules which are written down within your gold trading plan.

Example of XAUUSD Trading System below:

Writing Rules of a Gold Trading System- 1 hour Gold Chart Time frame Trading

You can come up with the above gold system using the steps below:

Choose your Chart Timeframe - 1H chart

Choose Technical Indicators that spot a new trend - Moving Average Crossover System.

Select Technical Indicators which confirm the gold trend - RSI, Stochastic

Finding entry & exit points

Long Entry

1. Both Moving Average pointing up
2. RSI above 50
3. Stochastic oscillator going up

Short Entry

1. Both Moving Average pointing down
2. RSI below 50
3. Stochastic oscillator going down

Exit

1. MA gives opposite signal
2. RSI gives opposite signal

Calculating risks in each trade - 20 pips

Write down the gold trade system Gold rules

Test the system on a xauusd trading practice trading account

After using these steps we create written gold system rules below.

Writing Gold Trading System Gold Rules

Example of How to Write the Best Gold Trading System Rules

This trading system produces the signals as shown below. Using these rules traders can determine when to enter and exit trades.

Generate Buy & Sell Gold Signals using Written System Rules

We have completed writing the rules, if you are researching on how to create the best gold system, this tutorial is a good start to guide you on how to do just that. This is one part of a the gold trading plan. Now how do you create a complete gold trading plan? To read about Gold plan tutorial go to the right navigation menu of this website under key concepts where you can find a link for this Gold trade plan topic.