Trading Gold Calculate Trailing Stop Loss Gold Order
A trailing stop loss order setting level can be calculated using gold indicators such as the Parabolic SAR indicator.
If the xauusd market rises by a set number of pips the parabolic SAR indicator then adjusts the trailing stop loss level upwards accordingly.
Also if the xauusd market falls by a set number of pips the parabolic SAR indicator then adjusts the trailing stop loss level downwards accordingly.
Parabolic SAR Technical Indicator
Parabolic SAR is used by traders to set a trailing xauusd trading price stop loss regions
Parabolic SAR provides good exit points which keep trailing the xauusd trading price on a xauusd chart.
In an upwards gold trend, you should close long trade positions when the price drops below the parabolic SAR Indicator
In a downward gold trend, you should close short trade positions when price rises above the parabolic SAR.
Parabolic SAR - XAUUSD Technical Indicator for Setting Trailing Stop Loss Gold Order Levels
Bollinger Bands Indicator
Bollinger bands xauusd technical trading indicator use standard deviation as a measure of volatility. Since standard deviation trading indicator is a measure of volatility, the bands are self adjusting meaning they widen during periods of higher volatility & contract during periods of lower volatility.
Bollinger Band consist of Three bands designed to encompass the majority of a trading instruments xauusd price action. The middle band is a basis for the intermediate term trend, typically it is a 20 period simple moving average, which also serves as a base for the upper band as well as the lower band. Upper band's distance and lower band's distance from the middle band is usually determined by volatility.
Since these bollinger bands are used to encompass the trading instrument xauusd trading price action, the bands can be used to set stoploss orders outside the areas of the bands.
Bollinger Bands XAUUSD Indicator - Setting Trailing Stop Loss Gold Order Level using Bollinger Bands Indicator
