What is the easiest gold trading strategy? Of course, this is trading in price channels! It is only necessary to plot such channels on the chart and buy options when the price reaches them.
But before moving on to the channel strategy for gold, let's first analyze what causes such a strong price movement in gold in the first place?
For example, when the official results of the referendum were published, the entire world community wondered: What prompted Britain to vote in this way? What are the next steps for the government?
Of course, leaving the EU will take more than one year, this procedure is gradual and diplomatically difficult.
Experts mostly did not count on such an outcome of events, opponents of Brexit believed that the referendum was just a formality, and the population would not dare to take a radical step to leave the EU.
But we will probably not discuss this, but how Brexit affected the national currency of Britain, namely, gold!
The pound held tight in the trading range until the announcement of the official results, after the news of the decision of the British, the sterling began to fall. The pound weakened against the US dollar and hit a 30-year low.
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As for gold, its movement was predictable: at first, gold fell in value, and now there is a beautiful correction.
When you look closely at the chart, you pay attention to the fact that clear and distinct price directions emerge, and in other words, price channels, in fact, thanks to them, you can earn!
What is a price channel in simple terms, it's like a goal in football, and the price itself is a ball, each time bouncing from one goal to another.
The image below shows an ascending price channel:
Like price, price channels tend to change, change direction. An ascending price channel is always followed by a descending one, and vice versa.
The example below already shows a downward price channel:
To determine price channels, you do not need to have any additional skills or abilities.
The images below are offered as an example of how to trade gold from price channels:
Opening a deal to increase takes place in the case of an upward price channel.
Opening a deal for a fall will be appropriate if there is a downward price channel on the chart.
We also indicated the points when it is appropriate to enter the auction, that is, when you can catch the price.
To build such a price channel, you need to go to live chart for binary options
A fully configured chart with automatic plotting looks like this:
Well, now, we need to build such a channel ourselves. To do this, go to the chart and first select the Gold asset (on the chart it is called XAU / USD), select the plotting interval from 5 to 15 minutes.
Next, on the chart in the left column, select the Trendline and simply build price channels based on the extremums (minimums/maximums). We stretch the line from the beginning to the end of the quoting chart.
Now you only need to open trades when the price approaches the price channel. The principle of opening is shown in the screenshot above.
Here is a screenshot of transactions from one of the brokers trading in price channels on gold:
The optimal amount for trading gold using this strategy is 500$. For this amount this broker You can also get lifetime access to the signals if you fund your account with 1000$ or 1 month if you fund with 200$.
Also you can get risk free trade, which means to buy an option WITHOUT RISK!