Buying & Selling XAUUSD - Going Long or Going Short
In trading Gold online, traders can make profits by buying Gold contracts or selling XAUUSD lots depending on the market direction Gold prices. If gold prices are moving upward then a gold trader will buy XAUUSD so as to earn a profit. If prices are moving down then a xauusd trader will sell XAUUSD so that to earn a profit.
The prices of Gold at any given moment are either moving upwards or downward in what is known as a trend. The trend is the general direction of the Gold prices. Therefore, if the price of gold is moving in an overall upwards direction, the trend is upwards & a gold trader should buy XAUUSD, if the price of gold is moving in an overall downwards direction, the trend is downwards & a xauusd trader should sell XAUUSD.
Going Long or Going Short
Go Long - When a trader buys Gold this is known as Going LongGoing Short - When a trader sells Gold this is known as Going Short
Long - long is another name used to refer to buying, when a trader goes long it means that they have bought the XAUUSD metal that is moving upward in a bullish trend. When the prices of XAUUSD are moving in an overall market trend that is upwards then the market is said to be bullish.
Short - short is another name used to refer to selling, when a trader shorts XAUUSD, it means that they have sold the XAUUSD metal that is moving downward in a bearish market trend. When the prices of XAUUSD are moving in a general market trend that's downward then the market is said to be bullish.
Buy/Long
Basically the term, "buy long" can be used refer to buying currencies in the online XAUUSD trading exchange market. Buy long is used to transact when prices of Gold are predicted to appreciate in their value compared to the USD, when the XAUUSD metal, Gold is bought then it is the same as holding value in XAUUSD and instead of holding the value in USD - Holding the Value in Gold after selling USD.
If the price of XAU/USD is heading up we buy, this is referred to as going long, henceforth long is just another name for buy. When the Gold price trend is moving up it is known as a bullish,this is when a buy order is placed. A bullish trend is identified by plotting an upwards trend line on a Gold chart. The example put on display below shows long/buy signal.
Buy/Long - XAUUSD Price Upwards Trending Market
Sell/Short
Basically the term, "sell short" can be used refer to selling currencies in the online Gold trading exchange market. Sell short is used to transact when the prices of Gold are predicted to depreciate in their value compared to the USD, when the XAUUSD metal, Gold is sold then it is the same as holding value in USD and instead of holding value in Gold - Holding Value in USD after selling XAUUSD.
If the price of XAU/USD is going downward we sell, this is known as going short, therefore short is just another name for sell. When the Gold price trend is going downward it is known as a bearish,this is when a sell order is placed. A bearish trend is identified by plotting a downward trend line on a Gold chart. The example put on display below shows short/sell signal.
Sell/Short - XAUUSD Price Downward Trending Market
XAU/USD Platform Software
This is the trading platform that is provided by an online broker to help the online traders place their trade transactions of buying & selling XAUUSD. Once you download and installs this software on your Desktop computer you can then start to trade XAUUSD online. All trade transactions are executed through this platform. If you want to learn a platform, MT4 is a good platform to begin with.
To set these buy and sell orders open MT4, open a "chart ", right click +oon the "chart ", choose & select the "New Order ", then choose and select the trade order either buy or sell as is shown below. (Short-cut Keys - Press 'F9')
In the example below we have used the forex pair EURUSD, if you want to trade Gold just change the symbol to XAUUSD & you as a trader can then use the buttons shown below to either go long or go short when trading Gold metal.
Alternatively you as a trader can first open the XAUUSD chart & place a XAUUSD trading order directly from the trading chart.
Going Long & Going Short on the MT4 Platform
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