Top 3 Gold Trading Strategies

Trading volatile assets is a good way to increase your capital if you know the formula to place successful orders at the correct entry points. We will be talking about the Top 3 Gold Trading Strategies to increase our chances of being on the winning side. This will help us to get on every trend and gain a good ride on the price fluctuation. 

Like cryptocurrencies, gold can register large volatility impulses that can end existing bullish / bearish trends, so we have to be very vigilant. It is imperative to analyze the strategies that have proven to work the most for gold trading if we want to work with its trading pair.

Disclaimer: this post should not be considered investment advice. This is only for educational purposes only. Never invest more than what you are able to lose and always ask for information to your professional financial advisors. We are not financial advisors. 

What are the top 3 gold trading strategies in Altsignals?

There are 3 strategies that have yielded excellent results when applied. It is necessary to remember that the timing MUST be respected, otherwise we could lose our trade.

Trading breakouts

Breakouts are obvious when it comes to analyzing the top 3 gold trading strategies, as every healthy market works through breakouts and pullbacks. When the price of gold reaches a support or resistance level, two scenarios are most likely to happen: A rejection or break of this level. If a support/resistance breaks, the price will seek a pullback as quickly as possible and we can position our order right at the confirmation point. If the breakout is at resistance, we will place a long order after the price has experienced the pullback and rises above the high point after the breakout, thus ensuring that it has bullish strength. If it happens in a support, the same method is applied but at the lowest point and a short order is placed.

This strategy works very well to take advantage of new trends and protect you from uncertain movements when working on confirmations. This is known to be the best among the top 3 gold trading strategies. For the best results, you can join Altsignals and master this strategy through their trading signals.

Fibonacci retracement

Gold trading is not only about strategies that involve fundamentals or analysis on the inflation levels of certain countries. Mathematically speaking, there is a strategy that can clearly guide us through the upcoming price fluctuations and earn us hundreds of pips in a matter of hours.

For this strategy, gold has to be traded when it falls below 0.618 as long as it has already left a similar price pattern in the same range. This means that the price tends to fail, breaking through this zone and probably heading in the opposite direction, giving us the opportunity to position our order at the exact moment in the price path. We can analyze the 1D chart to locate these patterns and establish a level with respect to the current price, in order to wait for the rejection and have a good timing.

Symmetric triangle rupture

Symmetric triangles are formed with two convergent lines that meet at a certain point. One of the lines is drawn joining the higher lows and the other is drawn to join the lower highs. If the marked trend lines turn into uneven slopes, we can see the formation of an ascending or descending wedge.

The entry point is right at the triangle breakout site and a long or short order will be placed depending on where it breaks. Among the top 3 gold trading strategies, this one tends to work quite well and is very accurate.

For more trading content visit the Altsignals blog and learn new strategies and opportunities in different markets.