As we look back in time metal gold is most used as investments all the times to secure our wealth. In forex market trading with gold is a difficult task and trader keeps it secret how to trade in gold.so, we need a strategy.
Best Forex Gold Strategy
A strategy that tells you when to get in trade? Which trade timeframe is used long term or short term? At which price buy and sell? A strategy is a course of plan to answer all these questions.
What is Forex Gold Strategy?
It’s all about how gold moves seasonally or within a year usually gold prices are high at the start and at the end of year. The preferable timeframe for gold trading is log run. There are several step in gold strategy.
- Analyze the gold price on seasonal base. A time frame within a year where gold price fluctuation is seen
- Purchase gold in trading month and hold it for some duration. A duration where rise and fall in witnessed.
- Go back over price fluctuation during year with the help of Fibonacci ratio Using Fibonacci retracement indicator. It helps to highs and lows.
- Use opposite trading signal to buy and sell and confirm market trends.
- Buy at the start of season. While observing the market If the price of gold is backing go for buying.
- Sell at loss stop position if the market is moving against its pattern and moving towards a new low it will be a loss but at the time where market tend to move low it is time where stop and sell at minimal profit.
- Make profit out of trade. Keep the trade of gold for a time frame where the price of gold is likely to rise above the support price level. At this point price where price indicate profits. Make a trade move and get profit.
For trading in gold some technical indicators are used:
Fibonacci retracement in an indicator that is mostly used in gold forex trade it helps to locate keep up and opposition level of price. It identify the direction of market and its potential levels. It minimize the risk rate in trade.
Factors that influence gold price:
Gold in most popular financial investment because it is durable, portable and uniform worldwide. It is also same as a commodity. It is used only two purpose jewelry or investment.
Gold price depends on its demand fluctuations according to seasonal cycle. Gold price has direct relation with inflation price rise and fall accordingly. U.s dollar and gold price has an inverse relation if the price of gold decreases it must be increase in dollar price.
Gold is always been a best form of investment to generate profit and also complex trade. For trading in gold a strong range and experience is required that is developed through a strong strategy that gives you confidence in trade. Traders who develop their skills in forex gold trading are more likely to generate profits.
Uses of Forex Gold Strategy:
Currency pairs: All
EURUSD, GBPUSD, USDCHF, USDJPY, AUDUSD, NZDUSD, USDCAD,EURJPY, EURCHF, EURGBP, EURAUD, EURNZD, EURCAD,GBPJPY, GBPCHF, GBPAUD, GBPNZD, GBPCAD AUDCAD, AUDNZD, AUDJPY, CHFJPY, NZDJPY, CADJPY, CADCHF, NZDCHF
Trading Time: 24 Hours
Timeframe: Forex Gold Strategy
Recommended broker: All trusted brokers
Remember, Before use Forex Gold Strategy you can test on Demo account. When you will expert then you will use in Real account of trading.