XAUUSD Trend-Line Breakout Trading Indicator MT4
XAU/USD Trend Break out Indicator
After the price has moved in one particular direction for an extended period of time within a trend it then reaches a point where the price stops moving within the market trend direction. When this happens - traders will analyze this as a signal the trend line has been broken and this is interpreted and analyzed as a trend reversal signal - Trend-Line Breakout Strategy - Trendline Break Out Confirmation.
Because the trend line is the point of support and resistance and these levels of support and resistance have been broken after a trend-line break - we then expect the price to start moving towards the in the opposite market direction and this is interpreted by traders as a trend reversal signal - Trend-Line Support and Resistance Areas.
When Trend Line Support and Resistance Areas are broken by price - traders will close-out the open orders that they had opened. This is called profit taking.
XAU/USD Trend Line Breakout Strategy
When price breaksout below the upwards trend-line (support level) the price then will move downwards
Upwards Trend Line Break Out Confirmation - Trendline Breakout Indicator MetaTrader 4 - Trend-Line Breakout Trading Strategy - Trendline Breakout Confirmation
This Trend Line Breakout Strategy - trend reversal signal is considered to be complete when the price closes below an upward trend-line or when price closes higher than a downward trendline. This Trend Line Breakout Strategy also provides a opportunity to open a sell trade once there's a Trendline Break Out Confirmation - Trend Reversal Signal.
Trend-Line Breakout Strategy
When price breaksout above the down-ward trend-line (resistance zone) the price then will move upwards
Down-wards Trend Line Break Out Confirmation - Trend-Line Breakout Indicator MetaTrader 4 - Trend-Line Breakout Trading Strategy - Trendline Breakout Confirmation
This Trend Line Breakout Strategy - trend reversal signal is considered to be complete when price forms a higher low. This Trend Line Breakout Strategy - reversal signal also provides a trade opportunity to open a buy trade once there's a Trendline Break Out Confirmation - Trend Reversal Signal.
Gold Trendline Breakout Strategy Confirmation
When trading this Trend Line Breakout Trading Strategy - reversal setup it's best to wait until the price break out has been confirmed by price closing above or below the trend line, depending on the direction of the trend.
- Upward Trend Reversal - Trend-Line Break-out Confirmation - this reversal signal gets confirmed once the price closes below this upward trend-line, this should be the correct time to open a sell trade - to avoid a Whip-saw Trendline Break-out and Retest.
- Down-wards Trend Reversal - Trend-Line Break-out Confirmation - this reversal signal gets confirmed once the price closes above the downwards trend-line, this should be the correct time to open a buy trade - to avoid a Whip-saw Trendline Break-out and Retest.
Trend-Line Breakout Strategy - Trendline Breakout Indicator MetaTrader 4 - Trend-Line Break-out Confirmation - Trend Break-out Indicator - Trendline Support and Resistance Levels - Whipsaw Trendline Breakout and Retest
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