XAU --- Rules for trading the breakout Education

GOLD / U.S. DOLLARICE

Description

⋅ Jul 11, 2018 10:21 PM

My rules for trading this simple breakout pattern.

1. At least 5 points of contact within the pattern.

2. A breakout out of the pattern. This creates what I call the "Breakout Point" which is formed at the low wick of the candle.

3. Regardless of what price does after, we must see a breakout past the "Breakout Point." Regardless if we get a retest or not.

Risk to Reward Ratio of at least 1:1

Risk 2-3% capital.

Happy Trading!

Comments

davidmiller69

⋅ Jul 11, 2018 10:27 PM

thank you valuable information where do you think price gold will go up or down as I am new all dornting

TheSocialInvestor

⋅ Jul 11, 2018 10:35 PM

@davidmiller69, @davidmiller69, It is my pleasure, David. As of now I have no bias as to where the price of gold will go technically until price shows me something new. What you can look for to take a position is a close beneath the support zone forming a lower low followed by a shallow retracement with significant bearish momentum forming a LH confirming further downward continuation.