Read a Price Pullback

How to Interpret a Price Pullback

The price of a xauusd instrument does not move upwards or downwards in a straight line. Instead the price moves upwards or downward in a zigzag pattern called a trend

Upward trend - the prices move upwards in a trend then it retraces before resuming the up-ward trend direction

Downward trend - the prices move downwards in a trend direction and then retraces before resuming the downward trend direction.

What Does Price Pullback Mean? A price pullback is a retracement of price before the market resumes original xauusd trend movement.

How Do I Analyze Price Pullback - Read a Price Pullback

How Do You Analyze Price Pullback - Read a Price Pullback

Explanation of Price Pullback Pattern

1-2: Price Moves Up - Trend Direction

2-3: Price Pullback

3-4: Price Moves Up - Trend Direction

4-5: Price Pullback

5-6: Price Moves Up - Trend Direction

The definition of price pullback is explained on the above example - this price pullback represents a price pullback in an upwards trend.

Read a Price Pullback