Most successful gold Forex traders have a strategy which they perfect with time. Before trading gold in Forex market you should have a strategy in mind to maximize profits and minimize the losses. Here are some Forex trading strategies that you can employ while trading in gold. They are good for both beginners and expert investors alike and provide a solid foundation for developing an effective trading strategy suited to your investment needs.
This strategy looks at certain indicators to provide a strong basis for entry and exit points. Day trade pullback strategy is great Forex trading strategy for day traders. The trading opens and closes in same day. It utilizes 15 minute, 30 minute, or hourly Heikin Ashi charts for trading. Heikin Ashi charts are similar to candlestick charts that are useful for determining extremely short term trends.
Day trade pullback strategy provides entry and exit signals and signifies major trends. Buy gold currency pair when the period EMA rises above the period with significant gap between the two periods.
Sell gold currency pair when the period EMA falls below the period with significant gap between the two periods. Day trade EMA strategy is also great Forex trading strategy for day traders. The trading utilizes simple candlestick charts to determine the trading strategy.
EMAs are lagging indicators that are especially helpful when the market is trending during big price swings. Fast moving EMA crossover strategy is another Forex trading strategy for day traders. The trading is based on fast moving EMAs to determine effective time to buy and sell the gold currency pair. EMAs are lagging indicators that help in establishing the new trend of the gold prices. This strategy provides good results when the market is trending upwards or downwards with big price swings.
However, it may give a false signal if the price do not experience major swings. Simple moving average crossover strategy is suitable for any time frame. The trading utilizes similar concept to simple balanced strategy described above buy using different indicators. The chart is easy to set up and does not require complex analysis. Stochastic high low utilizes stochastic indicators to determine entry and exit points for buying and selling gold currency.
It indicates quite accurate strategic points to earn great returns. Buy gold currency pair when Stochastic line falls below 20 reaches 10 and then rises above Sell gold currency pair when Stochastic line rises above 80 reaches 90 and then falls above RSI high low strategy is a great strategy that gives an edge to investors in Gold Forex trading. It is suitable for any trading session and indicates that the gold prices are about to change in direction.
Buy gold currency pair when RSI falls below 30 reaches remains stable and then again rises to Sell gold currency pair when RSI rises above 70 remains stable and then again falls to The Price of gold is constantly on the move. Take advantage of the daily price changes in gold with an online trading account.
Open Gold Trading Account Here. You might also want to begin trading with a demo account before attempting to risk any of your own money. That way you can practice trading with virtual money on the demo platform first.
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