How to Analyze Consolidation Chart Pattern

A consolidation chart pattern is a bilateral xauusd chart pattern that signals the gold price is taking a break & the buyers & sellers in xauusd market are yet to decide on which side the xauusd market will move - this shows that there is a tug of war between the 2 & neither side can gain control of the gold trading market.

This consolidation pattern can continue for some time until eventually one side of the xauusd market wins & a new trend forms in the direction of the market to which the consolidation gold price breakout moves to.

If the gold price breaks out to the upward side direction then the market trend is considered to be bullish upwards market trend.

If the gold price breaks out to the downwards side then the market trend is considered to be a bearish downward trend.

Traders can decide which side of the consolidation to trade once the gold price break out happens & not before the gold price breakout.

Analyze Consolidation Chart Pattern - How to Analyze Consolidation Chart Patterns

Analyze Consolidation Chart Pattern - How to Analyze Consolidation Chart Patterns

Analyze Consolidation Chart Pattern