How Do I Interpret a Gold Trend Line?

A gold trend line can be an upward gold trend line or a downward gold trend line.

An up gold trend line is drawn by connecting two lows and the xauusd price lows are connected using a straight line. This straight line shows that the gold prices are moving upwards because this gold trend line slopes upwards - hence its name upward gold trend line. Gold traders then use this gold trend line as the support level of the xauusd price. New buy xauusd trades are opened once the xauusd price touches the upward gold trend line.

A down gold trend line is drawn by connecting two highs and the xauusd price highs are connected using a straight line. This straight line shows that the gold prices are moving downwards because this gold trend line slopes downwards - hence its name downward gold trend line. Gold traders then use this gold trend line as the resistance level of the xauusd price. New sell xauusd trades are opened once the xauusd price touches the downward gold trend line.

Tutorial: How to Draw and Trade Upward Gold Trendline

How Do I Interpret a Gold Trend Line? - How Do I Interpret a Gold Trend Line?

Tutorial: How to Draw and Trade Downward Gold Trend Line

Technical Analysis of Gold Trend Lines - Trendline Gold Trading