Learn Basics of Trading Strategies

For traders wanting to use strategies to trade the market there are a few other basics that a gold trader should know that will help to make the strategy being used become more successful.

After a trader has learned about technical analysis of indicators & the analysis of charts, a gold trader will need to create a trade strategy. The strategy that a beginner trader uses can be based on the following most oftenly used trade strategies in Gold.

MA Method

MA Method

MACD Method

RSI Strategies

RSI Method

Bollinger Bands Method

Bollinger Bands Strategy

Stochastics Oscillator Technical XAUUSD Strategies

Stochastic Method

A trader can learn about basics of how to come up with a strategy by learning from the above examples strategies.

Once a trader has develop their gold strategy, they should also include the following to make their gold strategy more successful.

1.Trade Money Management Rules

2.Trade Psychology

Trade Money Management Rules

Gold money management rules should be part of your strategy - the trade rules will help you as a trader to manage risk. This means that you will use the two rules of money management - these are risk:reward ratio and drawdown reducing technique when setting your trades to identify the lot size that you will put in the market. The most popular gold equity management rule used in xauusd & the one that you should also add to your trading is the rule that says that a gold trader should never risk more than 2 % of their account equity on any one single trade position.

To learn about these 2 gold equity management rules traders should read the trading money management course that is on the learn gold courses section of this site under the trading key concepts lessons.

XAU/USD Trade Psychology Mindset

In order for a trader to become successful when trading the market one has to learn about gold psychology. The gold psychology or mindset which is needed to become successful in xau/usd trading is one that avoids the emotions of fear & greed while trading & is a mindset of total discipline that the trader will follow & adhere to all their rules & their gold strategy and only trade with trading signals which are generated by their strategy. With discipline one will not trade unless their strategy gives and generates a signal. A trader will have the mindset of only following their gold strategy 100 % all the time without second-guessing the system. A disciplined trader will also not open trade positions in market just because the market has started to move up or downwards, instead one will wait for a signal to be derived/generated by their gold strategy.

In order to study more about gold psychology & how to manage emotions while trading the market a trader can read the psychology lessons from the learn gold courses section of this site under the trading key concepts courses.

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Trade Gold Trading