How Do I Use Gold Trading Fibonacci Retracement?
The Fibonacci retracement levels are explained below: traders should use this Fibonacci Retracement Levels indicator to determine where to open a trade whether a buy gold trade in a up gold trend and a sell gold trade in a downward xauusd trend.
How Do I Use Fibonacci Retracement Levels for Day Trading?
How Do I Use Fibonacci Retracement Levels for Day Trading?
How Do I Use Fibonacci Retracement Levels for Day Trading?
How Do I Use Fibonacci Retracement Levels for Day Trading?
How Do I Use Gold Trading Fib Retracement?
In the technical analysis example illustrated and explained below the xauusd trading price is moving up between chart point 1 and chart point 2 then after chart point 2 it retraces down to 50.0% retracement level then xauusd trading price continues moving up in the original upward trend. Note that this retracement indicator is drawn from point 1 to point 2 in the direction of the Gold trend (Upward Direction).
Technical Analysis of How to Use Fib Retracement in an Up XAUUSD Trend
Technical Analysis of How to Use Fib Retracement in an Up XAUUSD Trend
Once the xauusd trading price hit the 50.0% retracement level, this retracement level provided a lot of support for the xauusd trading price, and afterwards the xauusd market then resumed the original upward trend and continued to move up.
For this technical analysis example, the xauusd trading price retracement reached the 50.0% retracement level, but most of the time the xauusd market will retrace up to 38.2% retracement level and therefore most of the time gold traders set their buy limit orders at the 38.2% Fibonacci retracement level, while at the same time placing a stop just below 61.8% Fibonacci retracement level.
How Do I Use Gold Trading Fibonacci Retracement?
In the Gold Retracement Strategy example illustrated and explained below the xauusd market is moving down between chart point 1 and chart point 2, then after chart point 2 the xauusd trading price then retraces up to 38.2% retracement level then it continues moving downward in the original downward trend. Note that this retracement indicator is drawn from point 1 to point 2 in the direction of the Gold trend (Downward Direction).
Technical Analysis of How to Use Fib Retracement in a Down XAUUSD Trend
Technical Analysis of How to Use Fib Retracement in a Down XAUUSD Trend
The above technical analysis example is a gold retracement trading setup where the price retraces immediately after touching the 38.2% XAUUSD Chart Fibonacci Retracement Level.
In this technical analysis example the retracement of xauusd trading price reached 38.2% retracement level and did not get to 50.0% retracement level. It is always good to use 38.2% retracement level because most times the xauusd trading price retracement does not always get to 50.0% retracement level.
This Gold Retracement level provided a lot of resistance for the xauusd trading price retracement, this was the best place for a gold trader to place a sell limit order as the xauusd market quickly moved down after hitting this xauusd price retracement zone.
