How to Trade XAUUSD Using TradingView and MetaTrader

If you’re interested in trading gold, also known as XAUUSD, you’re in the right place. In this article, I’ll share with you my best trading strategy for how to trade XAUUSD, which I traded last month and continue to use because of the excellent results it brings. It’s also super easy to apply, and I’ll explain how to use it on both TradingView and MetaTrader.

How to Trade XAUUSD – Getting Started

But first, let me explain a little bit about gold trading. For centuries, people have used gold as a precious metal to store value. Investors tend to flock to gold as a safe haven asset during times of market uncertainty, as a means of safeguarding their wealth.

How to Trade XAUUSD – The Strategy

Now, let’s dive into the trading strategy. The first thing you should know is that this strategy only trades on the M15 chart. The first indicator we’ll use is the Accelerator Oscillator. I recommend using the one from Everget, as it’s very visual and easy to read.

The Accelerator Oscillator

The Accelerator Oscillator is a histogram that shows the difference between the Awesome Oscillator and its 5-period moving average. When the AC is above the 0 line, it’s in green, and when it’s below the 0 line, it’s in red. For this strategy, we’ll use the 0 line as our only parameter.

When the Accelerator Oscillator crosses the 0 line downwards, we have a buy signal. This occurs when the AC is above the 0 line on one bar, and then below the 0 line on the next bar. The confirmation comes at the opening of the next bar. At this point, you can place a long position.

For a long position, the entry is at the opening price of the bar, which in this case is 1746. The Take Profit is $80 from the gold price, which would be 1826 in this example. The Stop Loss would be 1739.5, which is $6.50 below the entry price.

It’s important to note that we need to see one bar as confirmation before placing the trade. The risk-to-reward ratio for this strategy is 12.31, which is excellent.

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How to Trade XAUUSD – Bollinger Bands as an Exit Condition

However, we also have an exit condition from the Bollinger Bands. When using this indicator, we need to adjust the length to 12 and the deviation to 3.8. We should exit a long trade whenever we see a bar that opens above the upper band of the Bollinger Bands.

For short trades, we need to see the Accelerator Oscillator crossing the 0 line upwards. As an exit, we should see the price below the lower band of the Bollinger Bands.

It’s up to you whether you want to use only the stop loss and take profit or also include the Bollinger Bands as an exit condition.

Now that you know the strategy, let’s talk about how to use it on TradingView and MetaTrader. If you want to trade manually, you can use the TradingView platform. You’ll need to add the Accelerator Oscillator and Bollinger Bands to your chart and adjust the settings as described above.

If you prefer to use a robot to trade automatically, you can use MetaTrader. You can download the robot for free by following the link in the description. Once you’ve installed the robot, you can set the parameters as described above and let it do the trading for you. More on that a little later.

How to Trade XAUUSD – Selecting your broker

First and foremost, it’s important to find a regulated broker. One such broker is BlackBull Markets, which offers a variety of popular symbols like Forex, Commodities, and Crypto. They also offer different types of accounts, depending on the amount you’re planning to trade with. It’s crucial to make sure that the broker you choose is regulated, and you can verify this by checking the regulator’s page. For example, if you’re in the UK, look for FCA regulated brokers. If you’re in Australia or New Zealand, look for brokers like BlackBull Markets who are regulated for that area.

Trading Platforms

BlackBull Markets offers several account types and a few platforms, including the ever-popular Metatrader 4 and 5, which are the preferred platforms for automated trading, and TradingView, mentioned above. Additionally, it is very well regulated. BlackBull Markets also offer a TradingView Pro subscription, which you can get for free by clicking this link.

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How to Trade XAUUSD using Algorithmic (Automated) Trading

We’ll focus on MetaTrader in this post for algorithmic trading. MetaTrader is the most popular trading platform used by many traders worldwide.

Gold is a popular asset to trade, and if you’re interested in trading gold, this post is for you. In this post, we’ll show you how to use algorithmic trading to trade gold on MetaTrader.

Before we dive into the specifics, let’s first take a look at the benefits of algorithmic trading.

Benefits of Algorithmic Trading

Algorithmic trading has several benefits. Some of these benefits include:

  1. Faster Execution: With algorithmic trading, you can execute trades much faster than you could with manual trading. This is because the computer can execute trades in a matter of milliseconds, whereas it could take you much longer.
  2. Removes Emotions: Algorithmic trading removes emotions from trading. You might be tempted to make emotional decisions based on fear or greed when trading manually. With algorithmic trading, all decisions are based on pre-determined rules.
  3. Backtesting: With algorithmic trading, you can backtest your trading strategies using historical data. This allows you to see how your strategy would have performed in the past, which can help you make better decisions in the future.

Now that we’ve covered the benefits of algorithmic trading let’s take a look at how to trade gold using algorithmic trading on MetaTrader.

How to Trade XAUUSD on MetaTrader

To trade gold on MetaTrader, you can create a trading robot or expert advisor (EA) using EA Studio. The strategy we’ll use is the Accelerator Oscillator as an entry rule, the Bollinger Bands as an exit rule, and Stop Loss and Take Profit in Pips. Or you could simply download the FREE ready-to-use robot below.

How to Trade XAUUSD – Backtesting

Once you’ve created or downloaded the robot, you can backtest it using historical data. Backtesting allows you to see how your strategy would have performed in the past. If your backtesting results are satisfactory, you can then trade live using the robot.

The backtesting results for this strategy show that it performs well on Mondays and Tuesdays. However, there will be losing periods, so it’s important to perform regular backtesting to ensure the strategy is still performing well.

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Conclusion

In conclusion, trading XAUUSD can be a profitable endeavor if you have the right strategy. The strategy I shared with you is simple, easy to apply, and has consistently brought me great results. Whether you prefer to trade manually on TradingView or use a Robot on MetaTrader, this strategy is applicable for both. Remember to always practice proper risk management and wait for confirmation before entering a trade. Good luck!

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