Arty from Forex Elite shares his XAU/USD day trading strategy based on price levels. He demonstrates how gold moves in $10 increments and how traders can use this to trade any financial instrument well. The strategy doesn’t require any fancy indicators or candlestick patterns. Price levels are unique for each financial instrument and can be mastered for successful trading. Arty also offers a course on price levels for forex currency pairs on Forex Elite’s website.

The Ultimate Goal Trading Strategy: Using Price Levels

Introduction

When it comes to trading, whether it’s gold, forex currency pairs, stocks, or crypto, each instrument has its own unique set of price levels. Once you learn these levels, you won’t need any fancy strategies or indicators to trade successfully.

This article will focus on the XAU USD day trading strategy using price levels. We will discuss the basic principle behind this system and how to use it to trade gold effectively.

Understanding Price Levels

To illustrate how the price level system works, let’s look at the XAU USD chart. Every 10 dollars is a major price level for day trading gold. For instance, the 1760, 1770, 1780, 1790, and 1800 are all major price levels.

The basic principle of the price level system for gold is simple. If the price is headed up, it will go to the 10-dollar price level above it. Conversely, if the price is headed down, it will go to the 10-dollar price level below it. In other words, gold moves in ten-dollar increments.

The Price Level System in Action

To showcase how the price level system works, let’s look at some examples on the chart:

Example 1: 1800 Price Level

If the price is moving up from 1800, it will go to the 10-dollar level above it, 1810. If it’s moving down, it will go to the 10-dollar level below it, 1790. In other words, it will move in 10-dollar increments until it starts and ends at a 10-dollar price level.

Example 2: 1720 Price Level

If the price is moving up from 1720, it will go to the 10-dollar level below it, 1730. It will continue to move up in 10-dollar increments until it reaches 1760. If it decides to go down, it will go to the 10-dollar price below it, 1710.

Example 3: 1780 Price Level

If the price is moving up from 1780, it will go up in 10-dollar increments until it reaches 1810. If it decides to go down from there, it will go down to the 10-dollar price level below it, 1770.

Conclusion

The price level system for gold is a simple yet powerful strategy that can help you trade more effectively. Once you master these price levels, you won’t need any fancy strategies or indicators. You can simply use the prices to make informed trading decisions.

Remember, every financial instrument has its own set of price levels. If you want to learn more about the price levels for forex currency pairs, check out ForexElite.com.

Thank you for reading, and happy trading!