Trading Gold Do Gold Position Trading with Different XAUUSD Chart Time frames?
Gold Trading Chart Timeframes
Position Traders
These group of gold trading are the investors that hold on to their trades for weeks or months. With the objective of making a large number of pips, 300 - 1,000 pips.
Position gold trader using the daily chart time frame wants to go short, checks weekly xauusd chart time frame, weekly xauusd chart time frame looks like the one below, since weekly gold chart shows the gold trend is going down, then decides from this technical analysis it's okay to sell.
Gold Position Trading on Multiple Charts - Chart Time Frames
Gold Position Traders using technical analysis use gold charts to try and attempt to predict the movement of xauusd price on the trading charts.
Gold Trading Position traders will sometimes use two or more xauusd chart time frames so as to determine the long term gold trend and the short term xauusd trend.
How to Define A Gold Price Gold Trend for Position Trading
Using a xauusd trading system that has 3 indicators - Moving Average Crossover System, RSI and MACD and using simple rules to define the xauusd trend. The trading rules are:
Upward XAUUSD Trend
Both MAs Moving Up
RSI above 50
MACD Above Centerline
Downward Gold Trend
Both MAs Moving Down
RSI below 50
MACD Below Centerline
Multiple gold charts time frames analysis equals using 2 chart time frames to trade xauusd trading - a shorter xauusd chart time frame used for trading and a longer chart time frame to check the Gold trend - the chart time frames that you choose for trading xauusd price action with will depend on the type of trader you are: for Position Traders the chart time frames used for trading will be an example of daily chart time frame and weekly xauusd trading chart time frame.
Since it is always good to follow the gold trend when gold trading Position Trading, in Multiple Chart Time Frame Analysis, the longer weekly xauusd chart time frame gives us the direction of the long term gold trend when Position trading using the daily Gold Chart Time Frame.
