XAUUSD Trend-Line Break out Indicator MT4

XAUUSD 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 price stops moving within the market trend direction. When this happens - traders will interpret this as a signal that the trend line has been broken & this is interpreted as a trend reversal signal - Trend-Line Break-out 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 opposite direction and this is interpreted by traders as a trend reversal signal - Trend-Line Support and Resistance Zones.

When Trend Line Support and Resistance Levels are broken by price - traders will close the open trade orders which they had opened. This is called profit taking.

XAUUSD Trend Line Break-out Strategy

When price breaksout below the upwards trend-line (support level) the price will then move downward

Upwards Trend Line Break Out Confirmation - Trendline Breakout Indicator MT4 - Trend-Line Break-out Strategy - Trendline Breakout Confirmation

This Trend Line Break-out 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 down ward trendline. This Trend Line Breakout Strategy also provides a trading opportunity to open a sell trade once there's a Trendline Break Out Confirmation - Trend Reversal Signal.

Trend-Line Break out Strategy

When price breaksout above the down ward trend-line (resistance zone) the price will then move upward

Down-wards Trend Line Break Out Confirmation - Trend-Line Break out Indicator MT4 - Trend-Line Break-out Strategy - Trendline Breakout Confirmation

This Trend Line Break-out Strategy - trend reversal signal is considered to be complete when price forms a higher low. This Trend Line Break-out 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 Trend-Line Break out Strategy Confirmation

When trading this Trend Line Break-out 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.

• Upwards Trend Reversal - Trend-Line Break-out Confirmation - this reversal signal is 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 Trend-Line Break-out and Retest.

• Down-wards Trend Reversal - Trend-Line Break-out Confirmation - this reversal signal is confirmed once the price closes above the downwards trendline, this should be the correct time to open a buy trade - to avoid a Whip-saw Trend-Line Break-out and Retest.

Trend-Line Break-out Strategy - Trendline Breakout Indicator MT4 - Trend-Line Break-out Confirmation - Trend Break-out Indicator - Trendline Support and Resistance Levels - Whipsaw Trendline Breakout and Retest