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How I Make Money Trading GOLD Using Price Action Chart Analysis

Hey guys it’s Nial Fuller here from learn to trade the market. welcome to another trade setups video today’s video I’m going to be talking about a huge gold trade set up we recently discussed and the members weekly trade setups newsletter and I’m going to be talking about a potential trade setup on gold that I see sitting up over the next few weeks so firstly let’s have a look at the zoomed out daily gold chart we can see the market found strong resistance that 1295 to 1,300 resistance region on several occasions over the last six months what’s interesting to note is that over the past three tests of this 1295 resistance level the price quickly reversed lower but on this most recent test of the resistance price didn’t actually reverse lower instead we kind of just consolidated and grind it away under that resistance at 1295 if we zoom in a little bit closer on the daily chart we can see a large pinbar reversal sell signal formed at that resistance right up against it but again there was no follow-through to the downside we just kind of grinded out went sideways we can then drill down a little bit further and see these four daily price bars actually formed a coiling inside bar structure this is actually where you see multiple daily price bars that form within the range of the previous bar and you can see that on the chart here these bars are actually forming within the range of the previous bar so that’s a coiling inside bar structure very powerful now typically when we see those patterns with lots of inside bars compressing like this it’s a flashing line of warning sign that the market is about to make a major break in one direction but it’s important to remember that because this was two weeks ago we didn’t actually know which way the market was going to break out at that time so it’s kind of a point where the markets about to do something and then we have to anticipate it and plan the trade from there on this fourth price bar you can see prices did initially breakout of the downside and for some this would have been a nice short signal however as you can see the shorts had it wrong and prices quickly reversed off the lows and formed a large bullish pin bar reversal with a long tail this is one of my proprietary price action signals called the fakie setup because prices make a false break in one direction and quickly start moving in the opposite direction so the first move was a fake-out that’s designed to trap most of the retail money on the wrong side of the market it’s a very powerful price action setup that shows the psychology of what’s taking place between the buyers and sellers at that time we have like the majority of the traders betting on the wrong side of the market only to get squeezed out in their positions as price moves the other way it’s like a self-fulfilling momentum prices start to move the other way try to start panicking they stop out at liquidate and then ultimately the professionals come in and drive the price through to new highs okay for anybody short the fakie pattern was a clear signal to get out of shorts and reverse to Long’s and for those traders not in a trade this was a clear signal to take a long position at the close of this bullish pin bar we took an aggressive entry at the market price and as you can see in the following few days prices rallied strongly through that previous resistance at 1300 and beyond now personally I like to trade fakies where the false break bar is a really clear pin bar like the one we have in this example but there are four different types of fakies and I expand in more detail about these in my trading courses so if you miss this trade the question now is where is gold headed and how can we trade it from here well given that price has shown its hand and started trending strongly above the previous resistance at 1295 to 1300 we would assume that this level is going to act as a strong support in fact after the first breakout prices actually retested that level here and quickly pushed higher so from here the best potential trade that I can see would be to be buying gold if prices fall back towards that 1295 to 1,300 major level we would either wait for a price action buy signal in that area or just blindly jump in around that 1,300 area if we zoom out on the daily chart again we can see the technical preacher for gold looks pretty bullish now that we’re above that 1,300 resistance and I guess until prices collapse below that support we can assume prices are going higher obviously a prices fail that’s potentially a good sign to close any Long’s and recess a chart the next major level is around these thirteen seventy to 1400 levels and that would be my first up site target but it’s possible that we could even move higher than that long-term so for now I’m buying gold on any price dips down towards that support and I’ll be setting profit targets up around thirteen seventy to fourteen hundred you like to receive more trade setups ideas and trading lessons like this please hit over to learn to trade the market com be sure to sign up to our newsletter mailing list and remember to subscribe to our YouTube channel I’ll see you in the next video until then safe trading you

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